The Indian government plans to assess the impact of recent tax concessions on its indirect tax revenues at the start of the new financial year, particularly in light of the ongoing West Asia conflict. Officials noted that indirect tax revenues marginally exceeded revised estimates for FY26, with customs duty collections at 102% and excise duty at 101% of the revised estimates. To alleviate the economic impact of supply disruptions, the government exempted critical petrochemical imports from customs duty for three months, effective until June 30. Additionally, it reduced excise duty on petrol and diesel by ₹10 and ₹3 per litre, respectively. Total indirect tax collections for FY26 are projected to exceed ₹15.52 lakh crore (approximately $1.87 billion USD), including ₹2.58 lakh crore from customs duty, ₹3.38 lakh crore from excise duty, and ₹9.58 lakh crore from central Goods and Services Tax (CGST). However, collections from the health and national security cess, imposed on pan masala manufacturing, fell short of targets, achieving only 63% of the revised estimates.