New Delhi: The Union government has garnered ₹27.08 lakh crore in total receipts up to January 2026, accounting for 79.5% of the revised estimates (RE) for FY26, according to the latest monthly accounts released by the Ministry of Finance.
Net tax revenue to the Centre stood at ₹20.94 lakh crore, while non-tax revenue contributed ₹5.57 lakh crore. Non-debt capital receipts were pegged at ₹57,129 crore during the April–January period.
In a significant boost to cooperative federalism, the Centre transferred ₹11.39 lakh crore to states as their share of tax devolution—₹65,588 crore higher than the corresponding period last year.
Expenditure trends
Total expenditure incurred by the government during the period reached ₹36.90 lakh crore, or 74.3% of the FY26 RE. Of this:
₹28.47 lakh crore was revenue expenditure
₹8.42 lakh crore was capital expenditure
Interest payments accounted for ₹9.88 lakh crore of revenue spending, underscoring the continued burden of past borrowings. Major subsidies stood at ₹3.54 lakh crore.
With receipts at nearly 80% of the annual target and spending at around three-fourths of estimates, the fiscal math suggests the government remains broadly aligned with its consolidation roadmap. Analysts note that the pace of capital expenditure—over ₹8.4 lakh crore—indicates sustained public investment momentum, even as revenue expenditure pressures persist.
The higher tax devolution to states may support sub-national spending in the final quarter, particularly on infrastructure and welfare schemes, potentially aiding economic activity in the closing months of FY26.
The final fiscal deficit numbers for the year will hinge on February–March revenue collections and expenditure management, traditionally a period marked by higher spending outlays.