New Delhi, June 30, 2025 — In a significant indicator of India’s economic momentum and improved tax compliance, gross Goods and Services Tax (GST) collections for the financial year 2024–25 have reached an all-time high of ₹22.8 lakh crore, according to official data released by the Ministry of Finance.
This marks a twofold increase in just five years. Back in 2020–21, the total GST revenue stood at ₹11.37 lakh crore. The average monthly GST collection for the current fiscal year now clocks in at ₹1.84 lakh crore, reflecting steady consumption patterns, greater formalization of the economy, and ongoing improvements in tax administration.
📊 What’s Driving the Growth?
- Stronger economic activity across sectors such as services, manufacturing, and e-commerce.
- Increased tax compliance due to the rollout of digital tracking, e-invoicing, and GST analytics tools.
- Widening of the GST base, including formalization of small and medium businesses.
- Efficient enforcement mechanisms including targeted audits and system-generated notices.
📌 Policy Impact
Experts note that these record collections signal macro-economic resilience, despite global uncertainties. The GST Council’s regular reviews, rate rationalization, and technological upgrades have been instrumental in making India’s indirect tax system more robust and transparent.
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