Direct taxes are taxes levied directly on individuals and entities and are based on their income, profits, or wealth. The burden of direct taxes cannot be shifted to someone else. Examples of direct taxes in India include:

Income tax in India is a direct tax that individuals, Hindu Undivided Families (HUFs), companies, firms, and certain other entities are required to pay to the government on the income they earn during a financial year. The Income Tax Act, 1961, and the Income Tax Rules, 1962, govern the levy, administration, collection, and recovery of income tax in India.