NEW DELHI: India’s gross Goods and Services Tax (GST) collection for June stood at Rs 1.85 lakh crore, recording a 6.2% increase over the same month last year, according to data released by the finance ministry on Tuesday.The June figure, however, represents a dip compared to previous months in FY26, when GST mop-up hit a record Rs 2.37 lakh crore in April, followed by Rs 2.01 lakh crore in May.As the GST regime completes eight years since its rollout in July 2017, the government said collections have doubled over the last five years. In FY25, gross GST revenues touched a record Rs 22.08 lakh crore, compared to Rs 11.37 lakh crore in FY21.The GST collections in FY25 registered a 9.4% growth year-on-year from Rs 20.18 lakh crore in FY24, making it the highest-ever annual revenue under the unified indirect tax system.Saurabh Agarwal, Tax Partner, EY India, said the domestic GST collections for June 2025 present a nuanced picture. “While the overall growth appears muted, likely influenced by the prevailing geopolitical uncertainties and their discernible impact on consumer sentiment, we must look beyond the headline numbers. It’s heartening to see strong pockets of growth in regions like Nagaland, Sikkim, Tripura, Lakshadweep, and Ladakh. This uplift suggests increased consumer activity and importantly, a continued thrust on infrastructure spending by the government in these areas, which is a positive indicator for regional development,” Agarwal said.“Furthermore, the rise in GST refunds for exports is a clear sign of robust cross-border transactions, reinforcing India’s growing engagement in global trade. This also underscores the government’s sustained commitment to address industry’s working capital challenges, a crucial factor for business continuity and growth.” he said. Abhishek Jain, Indirect Tax Head & Partner, KPMG, said “It’s good to see GST collections grow by around 12% in the first quarter compared to last year. It shows that economic activity and compliance continue to hold strong. The rise in net refunds, especially the sharp jump from last month, is also welcome news for businesses, as it helps ease cash flows.”In 2022-23, collections stood at Rs 18.08 lakh crore, while in 2021-22 they were Rs 11.37 lakh crore. GST was rolled out on July 1, 2017, and completed eight years on Monday.According to the government, the average monthly GST collection has risen steadily to Rs 1.84 lakh crore in FY25, from Rs 1.68 lakh crore in FY24 and Rs 1.51 lakh crore in FY22. In FY22, the monthly average stood at just Rs 95,000 crore.“Since its rollout, the goods and services tax has shown strong growth in revenue collection and tax base expansion. It has steadily strengthened India’s fiscal position and made indirect taxation more efficient and transparent,” the government said in a statement commemorating eight years of GST.The taxpayer base under GST has also expanded significantly, rising from 65 lakh in 2017 to over 1.51 crore as of 2025.GST, which replaced around 17 local taxes and 13 cesses, was introduced as a five-tier indirect tax system aimed at simplifying India’s complex tax structure.Monthly collections peaked in April 2025 at Rs 2.37 lakh crore — the highest ever — followed by Rs 2.01 lakh crore in May. The figures for June 2025 will be released on Tuesday.
