Goods and Services Tax (GST) Collections – August 2025
Context
- Introduced: July 2017, replacing multiple indirect taxes with a unified regime.
- Objective: Facilitate economic integration, ease of compliance, and broaden the tax base.
- Significance: Cornerstone of India’s fiscal architecture; indicator of domestic consumption and economic activity.
1. National GST Performance
- August 2025: ₹1.86 lakh crore, 6.5% YoY growth.
- Net GST revenue: ₹1.67 lakh crore, 10.7% YoY growth.
- Gross domestic GST revenue: ₹1.37 lakh crore (9.6% increase).
- GST on imports: ₹49,354 crore (1.2% decline).
- Refunds: ₹19,359 crore (20% decline YoY).
- FY26 Apr–Aug cumulative: ₹10 lakh crore, 9.9% growth vs ₹9.13 lakh crore in same period last year.
Insight: Strong collections reflect robust domestic consumption, festive demand, and economic resilience despite inflation and global headwinds.
2. Trend Analysis (FY21–FY25)
| FY | Gross GST Collection (₹ lakh crore) | YoY Growth |
|---|
| 2020-21 | 11.37 | - |
| 2021-22 | 14.27 | +25.5% |
| 2022-23 | 17.79 | +24.6% |
| 2023-24 | 20.18 | +13.5% |
| 2024-25 | 22.08 | +9.4% |
- Average monthly collection FY25: ₹1.84 lakh crore (highest since inception).
- Active taxpayers (April 2025): 1.51 crore, showing tax base expansion.
- Deloitte GST@8 survey: 85% of businesses reported a positive experience.
Significance: Sustained growth highlights GST’s efficiency, compliance improvement, and revenue stability.
3. State-Level Focus: Uttar Pradesh
- July 2025 collections: ₹9,760 crore (7% YoY growth) – first positive YoY growth in FY26.
- June 2025: -4% YoY growth, causing concern.
- Cumulative FY26 (Apr–Jul): -2% growth.
- Comparison:
- Maharashtra: ₹30,590 crore
- Karnataka, Tamil Nadu: high growth
- UP: modest 7% YoY in July
- Other states: Madhya Pradesh (+18%), Bihar (+16%).
Insight: Recovery shows potential, but sustained momentum through festive months is critical to achieve positive annual growth.
Updated - 1 Sept 2025 ; 12: 34 PM | News On Air