Wednesday, 30 Apr, 2025
The gross GST revenue collected from April 2024 to March 2025 i.e. in the FY 2024-25 was ₹22,08,861 crore. Image Source: IANS
After adjusting for refunds, the net GST revenue for March 2025 stood at ₹1,76,526 crore, registering a 7.3 percent year-on-year increase from ₹1,64,592 crore.
India’s Goods and Services Tax (GST) collections witnessed a 9.9 percent year-on-year increase, reaching approximately ₹1.96 lakh crore in March 2025, according to the official data. Breaking down the figures, the central GST contributed ₹38,145 crore, while state GST stood at ₹49,891 crore. The integrated GST accounted for ₹95,853 crore, with compensation cess adding another ₹12,253 crore.
India witnessed a significant boost in Goods and Services Tax (GST) collections in March 2025, with gross revenue touching ₹1,49,222 crore, an 8.8 percent increase from ₹1,37,166 crore reported in March 2024. Import-related collections also saw a sharp rise, with gross import revenue climbing to ₹46,919 crore, up 13.6 percent from ₹41,318 crore a year earlier. Integrated GST (IGST) collections contributed ₹45,782 crore, reflecting heightened trade activity. Meanwhile, cess collected on imports rose to ₹1,137 crore, compared to ₹996 crore in March 2024.
After adjusting for refunds, the net GST revenue for March 2025 stood at ₹1,76,526 crore, registering a 7.3 percent year-on-year increase from ₹1,64,592 crore. The upward trend in collections was also evident in the previous month, with February 2025 recording a net GST revenue of ₹1,50,528 crore, indicating a strong and sustained growth trajectory in the country’s tax revenue.
Commenting on the GST collection in March 2025, Abhishek Jain, Indirect Tax Head & Partner, KPMG said, "A nearly 10% growth in collections compared to last year reflects economic stability and strong tax compliance by companies. With fiscal year-end adjustments and reconciliations underway, we can expect a further surge in month-on-month growth in the next set of collection”.
Presenting his perspective on the GST data, Pratik Jain, Partner at PwC India said, “Single digit growth in GST revenue for the month would be a bit of concern for the Government, though partly it seems to be because of higher refunds compared to last year. One can expect more rigour in GST audits and scrutiny to plug the leakages. The slowdown in consumption is an area which also needs to be addressed.”
Source: Ministry of Finance
Maharashtra emerged as the frontrunner in interstate GST collections, registering ₹31,534 crore in March, reaffirming its status as the country’s economic engine. Karnataka followed with ₹13,497 crore, while Gujarat secured the third spot with ₹12,095 crore. Tamil Nadu and Uttar Pradesh rounded out the top five, contributing ₹11,795 crore and ₹9,956 crore, respectively, further underscoring their vital roles in driving national tax revenue.
In contrast, Union Territories and smaller northeastern states reported comparatively modest GST figures. Lakshadweep recorded the lowest collection at ₹3 crore, trailing the Andaman and Nicobar Islands at ₹51 crore. Mizoram and Ladakh reported revenues of ₹46 crore and ₹48 crore, respectively, while Nagaland contributed ₹85 crore. These lower figures reflect the limited industrial and commercial activity in these regions, which naturally results in smaller GST inflows.
The gross GST revenue collected from April 2024 to March 2025 i.e. in the FY 2024-25 was ₹22,08,861 crore of which Central Goods and Service Tax (CGST) was ₹4,13,776 crore, State Goods and Service Tax (SGST) was ₹5,16,448 crore while the Integrated Goods and Service Tax (IGST) was ₹11,25,335 crore. The gross GST collection from the current fiscal year has increased by 9.4 percent year-on-year as compared to the same period in the last fiscal.
The rollout of the Goods and Services Tax (GST) marked a transformative chapter in India’s taxation history, streamlining a complex web of central and state levies into a unified system. For a diverse and federal country like India, the implementation of a comprehensive tax structure across states was a landmark achievement.
As a value-added tax levied on the supply of most goods and services for domestic consumption, GST is paid by consumers but remitted to the government by businesses. Unlike the pre-GST era, where taxes were imposed at various stages such as manufacturing or sale, the GST framework focuses on the point of supply. The tax structure comprising Central GST (CGST), State GST (SGST), and Integrated GST (IGST) is jointly determined by the Centre and the States, based on recommendations from the GST Council.
The legislative groundwork for GST was laid with the passage of the 122nd Constitutional Amendment Bill in May 2015. It became law as the Constitution (101st Amendment) Act, 2016, and came into force on September 16, 2016. The new tax regime officially took effect on July 1, 2017. Since then, GST has significantly bolstered government revenues. The highest monthly collection to date was recorded in April 2024, reaching ₹2,10,267 crore. In contrast, the lowest was in June 2021, at ₹92,800 crore, a period marked by pandemic-related disruptions.
According to the Economic Survey for FY25, GST has become the single largest source of tax revenue for 23 states, particularly for northeastern states like Manipur and Nagaland, where it accounts for 78% percent and 72 percent of their Own Revenue Receipts, respectively.
Over the past seven years, the GST Council has convened 55 times, issuing crucial recommendations on rate adjustments, simplifying compliance, and easing trade processes. The Union Budget for FY25 echoed the Council’s reform-driven approach, proposing further amendments to the Finance Bill aimed at refining and strengthening the GST framework.
