GST Revenue Stays Strong In September With Gross Collections Above Rs 2 Lakh Crore

India’s gross Goods and Services Tax collections crossed the Rs 2 lakh crore mark for the third time this financial year, rising 14.7 per cent year-on-year to Rs 2.03 lakh crore in September. The numbers point to continued economic activity, but the composition of the increase suggests the story is about more than just consumers spending more.

GST revenue from domestic transactions rose 10.1 per cent to around Rs 1.38 lakh crore, indicating that taxable business activity and consumption remained firm. However, the bigger jump came from imports, with GST revenue from imported goods surging 25.9 per cent to Rs 65,525 crore, compared with Rs 52,031 crore a year earlier.

The sharp rise in import-linked collections is significant because it accounted for a substantial share of the overall increase. Tax experts have attributed the buoyancy partly to the rupee value of dollar-denominated imports, elevated crude and commodity prices and stronger imports of higher-value goods such as electronics, machinery, gold and fertilisers. That means the GST numbers should not be treated as a direct measure of how much Indian consumers spent.

The September figures also show the effect of lower refunds. GST refunds fell 3 per cent to Rs 27,001 crore, helping net GST collections rise a stronger 18.1 per cent to Rs 1.76 lakh crore. Domestic net GST revenue increased 13.5 per cent, while net customs-linked GST revenue jumped 30.8 per cent.

There was also a base-effect element. September 2025 saw some consumers postpone purchases after GST rate rationalisation was announced earlier that month but became effective only from September 22, according to tax experts. This makes the year-on-year comparison somewhat favourable for September 2026.

Even so, the broader trend remains significant. During April-September, gross GST collections grew 11.6 per cent to Rs 12.46 lakh crore, while net collections rose 10.4 per cent to Rs 10.66 lakh crore..