GST Collections Rise 4.6 per cent to Over Rs 1.95 Lakh Crore in October

New Delhi: India’s Goods and Services Tax (GST) revenue for October went up by 4.6 per cent, reaching nearly Rs 1.95 lakh crore, compared to around Rs 1.87 lakh crore collected during the same month a year earlier, as shown by the official figures shared by government on Saturday.

How did different parts of GST perform this month?

According to the data, revenue from the Central GST, State GST, and Integrated GST all showed growth when compared to the previous year, though collections from cess dropped slightly. Between April and October of the 2025–26 financial year, GST revenue stood at about Rs 13.89 lakh crore — a 9 percent rise over Rs 12.74 lakh crore collected in the same period of the last fiscal.

What trends can be seen in the first seven months?

All three main categories — CGST, SGST, and IGST — grew during this period, while cess slipped again. In 2024–25, GST collections touched a record Rs 22.08 lakh crore, marking a 9.4 percent increase from the year before. The average monthly collection during that year stood at Rs 1.84 lakh crore, the highest since GST came into effect in 2017. Over time, collections have moved steadily upward — from Rs 11.37 lakh crore in 2020–21 to Rs 20.18 lakh crore in 2023–24 — reflecting a stronger economy and better tax compliance.

What does this rise tell us about India’s economy?

The steady improvement in GST numbers points to healthy growth in economic activity. It also highlights stronger business performance and more disciplined tax reporting by companies and traders.

What big GST reforms came in September?

The GST Council, led by the Union Finance Minister and comprising state finance ministers, has been key in shaping the country’s GST policy. Since its creation in 2016, it has held 55 meetings focused on simplifying rules for taxpayers. On September 3, after Prime Minister Narendra Modi’s Independence Day announcement, the Council unveiled major reforms under GST rationalisation. The earlier four-slab system (5%, 12%, 18%, and 28%) was replaced with two main rates — 5% for essentials and 18% as the standard rate — plus a 40% rate for luxury and sin goods. These changes, which came into force on September 22, the first day of Navratri, were aimed at reducing the tax burden on people and boosting economic growth.