Tax arrears totaling ₹54.53 lakh crore are pending as of June 30, according to the Finance Ministry.
A large portion of the arrears is considered difficult to recover due to reasons like litigation or bankruptcy.
Total direct and indirect tax arrears stood at over ₹54.53 lakh crore as of June 30, Parliament was informed on Tuesday.
In a written reply to a question in the Rajya Sabha, Minister of State for Finance Pankaj Chaudhary said, "The total amount of tax arrears pending as on June 2025, under indirect taxes is over ₹7.01 lakh crore and under direct taxes is over ₹47.52 lakh crore." Cumulatively, direct and indirect tax arrears stood at ₹54.53 lakh crore as of June 30.
Of the total indirect tax arrears, over ₹2.66 lakh crore pertain to those where pending taxes in individual cases is above Rs 10 crore as of June 2025.
In case of direct taxes, tax arrears above ₹10 crore as on June 2025 totalled about ₹35.48 lakh crore.
Further, of the ₹7.01 lakh crore pending tax arrears under indirect tax, over ₹3.71 lakh crore is pending due to litigation at various stages.
Similarly, for direct taxes out of total ₹47.52 lakh crore arrears due, an amount of over ₹31.26 lakh crore is pending due to litigation at various stages.
