Robust domestic sales push GST kitty 6.5% higher at Rs 1.85 trn

GST Revamp: What Gets Cheaper, What Gets Costlier; Industry Reacts
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GST Revamp: What Gets Cheaper, What Gets Costlier; Industry Reacts

New Delhi: GST collection in August rose 6.5 per cent to over Rs1.86 lakh crore with increased domestic sales, and the upcoming festive season is likely to swell the kitty going forward. The August Goods and Services Tax (GST) mop-up is, however, lower than Rs1.96 lakh crore collected in July. In August 2024, the collection was Rs1.75 lakh crore. The gross domestic revenue grew 9.6 per cent to Rs1.37 lakh crore, while tax from imports dipped 1.2 per cent to Rs49,354 crore in August. GST refunds were down 20 per cent year-on-year to Rs19,359 crore. EY Tax Partner Saurabh Agarwal said the significant dip in export refunds is a clear signal of the impact that global tariffs are having on the export sector. “Despite global headwinds and geopolitical tensions, robust domestic consumption has so far held its own, suggesting that India’s growth trajectory remains on a solid footing,” Agarwal said. Net GST revenue stood at Rs1.67 lakh crore in August 2025, recording 10.7 per cent year-on-year growth.

Deloitte India Partner MS Mani said: “The increase in collections is in line with the GDP growth data shared recently and would give the policy makers the confidence to move ahead with GST 2.0 reforms slated to be discussed in the GST Council Meeting this week.

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