Tax collections dip: Net direct tax mop-up falls 1.34% to Rs 5.63 lakh crore as refunds surge; gross receipts rise 3.17%

India’s net direct tax collections experienced a slight decrease of 1.34% year-on-year, totaling Rs 5.63 lakh crore between April 1 and July 10 of FY26, primarily due to a significant surge in refunds issued. Gross direct tax collections, before refunds, saw a modest rise of 3.17%, reaching Rs 6.65 lakh crore. The government aims for Rs 25.