September GST collection pegged at ₹1.89 lakh crore:It is 9.1% higher compared to the same period last year; FY25 sees record collection of ₹22.08L crore

The central government has released the GST collection data for September following the implementation of the revised tax rates. Goods and Services Tax (GST) revenue stood at ₹1.89 lakh crore, marking a 9.1% year-on-year growth. According to data released on Wednesday, October 1, GST collections in September 2024 were ₹1.73 lakh crore. Compared to last month (August 2025), when collections reached ₹1.86 lakh crore, September’s figure reflects an increase of ₹3,000 crore. In August, GST revenue had grown 6.5% year-on-year. Earlier this financial year, record collections of ₹2.37 lakh crore in April and ₹2.01 lakh crore in May were reported. New GST Rates Implemented from September 22 From September 22, GST has been streamlined into just two slabs – 5% and 18% – covering essential and non-essential goods. The move aims to simplify the tax structure and has made daily-use items like UHT milk, cheese, ghee, soaps, and shampoos, as well as consumer goods such as ACs and cars, more affordable. This decision was finalized during the 56th GST Council meeting, with Finance Minister Nirmala Sitharaman announcing the update on September 3. Record GST Collection of ₹22.08 Lakh Crore in FY25 July 2025 marked eight years since the rollout of GST in India, first implemented on July 1, 2017. Over this period, GST collections have achieved a new milestone. In FY 2024-25, gross GST revenue touched a record ₹22.08 lakh crore, nearly double the ₹11.37 lakh crore collected in FY 2020-21. The average monthly GST collection in FY25 stood at ₹1.84 lakh crore, compared to just ₹95,000 crore in FY21 — highlighting significant growth in tax compliance and revenue generation over the past five years. Number of Taxpayers More Than Doubled Since the introduction of GST in 2017, the number of registered taxpayers has more than doubled—from 65 lakh at the time of rollout to over 1.51 crore today. This expansion has significantly strengthened the government’s tax base. According to the government, GST has not only boosted tax collections but also widened the tax base, enhancing transparency, simplifying compliance, and improving the country’s overall fiscal position. Record GST Collection in April 2025 In April 2025, GST collections reached an all-time high of ₹2.37 lakh crore, reflecting a 12.6% year-on-year growth. This surpassed the previous record of ₹2.10 lakh crore in April 2024, marking the highest GST revenue collection in history. GST revenue is widely regarded as a key indicator of the country’s economic health. Rising collections signal robust consumer spending, strong industrial activity, and improved tax compliance. Collections in April are usually higher as businesses clear transactions from the previous financial year. Commenting on this trend, Abhishek Jain, National Head at KPMG, noted that record GST collections point to a resilient domestic economy. Introduction of GST in 2017 The Goods and Services Tax (GST) was rolled out nationwide on July 1, 2017, replacing 17 central and state taxes and 13 cesses. On its 7th anniversary, the Finance Ministry highlighted the reforms and achievements under GST, which simplified India’s indirect tax system. GST Framework GST is an indirect tax with four standard slabs—5%, 12%, 18%, and 28%—and is structured into four categories: