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ICRA estimates gross tax revenue growth at 7% in FY27
January 17, 2026
|Financial Express Pune
RATING AGENCY ICRA has projected gross tax revenues to grow by around 7% in FY27, led by a robust 11% expansion in direct taxes.
This will provide critical support for fiscal consolidation, despite muted growth in indirect taxes following GST rate cuts implemented from September 2025.
Against this backdrop, ICRA expects the fiscal deficit to be capped at 4.3% of GDP in FY2027, marginally lower than the Budget Estimate of 4.4% in FY2026, assuming nominal GDP growth of 9.8%.
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