June GST Collection At Rs 1.85 Lakh Crore, Up 6.2% YoY
Month-on-month, the GST collection has slipped by around 8% as compared to Rs 2 lakh crore in May.
The Goods and Services Tax collections for June 2025 rose to Rs 1.85 lakh crore, marking a 6.2% increase compared to Rs 1.73 lakh crore collected in June 2024, indicating steady economic momentum.
Despite the yearly uptick, the collections are down 8.2% sequentially, as the GST mop-up in May came in at Rs 2.01 lakh crore.
The net GST collection in June, after factoring in the refunds issued, are up 3.3% on a year-on-year basis at Rs 1.59 lakh crore. The net mop-up is also higher as compared to the preceding month, when it stood at Rs 1.53 lakh crore.
Notably, refunds for the month under review came in at Rs 25,491 crore, 28.4% higher year-on-year.
For financial year 2026, the government has projected an 11% rise in GST collections, estimating annual revenue of Rs 11.78 lakh crore, including Central GST and compensation cess.
The June gross GST breakdown is as follows: Central GST at Rs 34,558 crore, State GST at Rs 43,268 crore, Integrated GST at Rs 93,280 crore, and Compensation Cess at Rs 13,491 crore
Commenting on the monthly tax collection, 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.”
State-Wise Trends
State-wise data shows that states like Nagaland, Sikkim, Tripura and Bihar, along with the Union territories of Lakshadweep and Ladakh, posted strong gains in GST collections of between 22% and 71%.
However, large states like Maharashtra, Gujarat, Andhra Pradesh, and Telangana posted modest growth of up to 8%.
States such as Madhya Pradesh, Haryana, Punjab, and Rajasthan saw mid-range growth of around 10%.
On states collections, Saurabh Agarwal, Tax Partner, EY India said “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."
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, the analyst said. This also underscores the government's sustained commitment to address industry's working capital challenges, a crucial factor for business continuity and growth, he added.
"Looking ahead, we anticipate a period of calibrated growth in collections in the short run. The interplay of geopolitical factors affecting consumer spending, coupled with the seasonal impact of the monsoons, will likely contribute to this trend," Agarwal further noted.
