The Centre is expected to meet its fiscal deficit target of 4.4% of the GDP in FY26, but analysts have raised concerns over slowing tax revenues due to cuts in income tax and goods and services tax (GST).

As per the data of the Controller General of Accounts, India’s fiscal deficit was contained at Rs 5.98 lakh crore between April and August, amounting to 38.1% of the full year target. This was slightly higher than the Rs 4.35 lakh crore or 27% of the Budget Estimate last fiscal in the same period. Advertisement

Net tax revenue was at Rs 8.1 lakh crore in the first five months of FY26 or 28.6% of the Budget Estimate while revenue receipts stand at 36.6% of the full year target. Total receipts amounted to Rs 12.82 lakh crore between April and August 2025, amounting to 36.7% of the full y

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