GST collections rise 4.6% to Rs 1.96 lakh crore in October despite tax cuts

Goods and Services Tax (GST) collection rose 4.6% in October, amounting to Rs 1.96 lakh crore, compared to Rs 1.97 lakh crore in October 2024, as per government data released on Saturday.

After deducting refunds, the government's net tax collections stood at Rs 1.69 lakh crore, or 0.6% more than in October 2024. As per the data, collections of Central-GST, State-GST, and Integrated-GST rose year-on-year, while cess collections dipped year-on-year.

Out of the total gross collection, CGST amounted to Rs 36,547 crore, SGST amounted to Rs 45,134 crore, IGST amounted to Rs 1,06,443 crore and cess amounted to Rs 7,812 crore.


In the April-October period of FY26, the GST collections rose 9.0% to about Rs 13.89 lakh crore, as against Rs 12.74 lakh crore in the same period last fiscal.

Gross GST revenue rose 12.84% yoy in October amounting to Rs 50,884 crore, while domestic revenue increased by only 2% at Rs 1.45 lakh crore.

Net GST revenue from domestic transactions stayed flat amounting to Rs 1.31 lakh crore, after refunds, while net customs revenue increased by 2.5% amounting to Rs 37,210 crore.

Since the launch of GST policy, the GST Council has played a key role in shaping the system. It is chaired by the Union Finance Minister and also includes state finance ministers and other key officials.

Even after the government's sweeping GST structural rationalisation, India's GST revenues have remained robust. The continued strength in GST collections demonstrates that the reforms are simultaneously underpinning local consumption and revenue buoyancy for the government, officials told ET.



Next-gen GST reforms that came into effect on September 22 were expected to have a wide ranging impact on the tax collection of the government. Under GST 2.0, the Ministry of Finance reduced the multi-layered tax structure to effectively two broad slabs of 5% and 18%, along with a special 40% rate for select items.

In September 2025, the government collected Rs 1.89 lakh crore as GST in September, up 9.1% year-on-year.

“The strong GST collections during the festive season clearly show that people are spending and business activity remains healthy," Amit Maheshwari, Tax Partner, AKM Global, a tax and consulting firm, told ET.

Commenting on latest GST collection data, Mahesh Jaising, Partner & Indirect Tax Leader at Deloitte India said, "This fiscal strength arms the Government with the bold resolve to drive GST 2.0 reforms— streamlining rates, curbing evasion and simplifying compliance—propelling India toward a truly seamless, tech-driven tax ecosystem."