The Goods and Services Tax (GST) collections for February 2025 have shown a strong 9.1% year-on-year growth, reaching ₹1.83 lakh crore compared to ₹1.68 lakh crore in February 2024. This sustained increase reflects economic resilience, improved compliance, and enhanced tax administration.
Breakdown of GST Revenues
Domestic vs. Import Revenue
- Domestic GST revenue grew by 10.2% to ₹1.41 lakh crore.
- GST from imports rose by 5.4%, amounting to ₹41,702 crore, indicating moderate growth in international trade activity.
Segment-wise Revenue Trends
| Component | Feb 2024 (₹ Cr) | Feb 2025 (₹ Cr) | % Growth |
|---|---|---|---|
| CGST | 31,785 | 35,204 | 10.8% |
| SGST | 39,615 | 43,704 | 10.3% |
| IGST (Domestic + Imports) | 84,098 | 90,870 | 8.1% |
| CESS | 12,839 | 13,868 | 8.0% |
| Total GST Revenue | 1,68,337 | 1,83,646 | 9.1% |
Refunds & Net GST Revenue
Total GST refunds surged by 17.3%, reaching ₹20,889 crore, which indicates an increase in legitimate claims from exporters and businesses. Despite this, net GST revenue still grew by 8.1%, reflecting a positive revenue trajectory.
- Net GST revenue (after refunds) for February 2025 was ₹1.62 lakh crore.
- Year-to-date net GST revenue reached ₹17.79 lakh crore, growing 8.6% over the previous fiscal period.
State-Wise GST Collection Trends
Several states reported double-digit growth in GST revenue, signalling broad-based economic expansion.
| State | Feb 2024 (₹ Cr) | Feb 2025 (₹ Cr) | % Growth |
|---|---|---|---|
| Haryana | 8,269 | 9,925 | 20% |
| Madhya Pradesh | 3,572 | 4,090 | 15% |
| Rajasthan | 4,211 | 4,787 | 14% |
| Maharashtra | 27,065 | 30,637 | 13% |
| Delhi | 5,544 | 6,074 | 10% |
| Tamil Nadu | 9,713 | 10,694 | 10% |
Some northeastern and smaller states, including Mizoram (-16%) and Lakshadweep (-55%), saw a contraction, highlighting regional disparities.
Factors Driving GST Growth
- Economic Expansion: Higher domestic demand and increased industrial activity contributed to rising GST revenues.
- Better Compliance Measures: The special drive against fake GST registrations led to improved tax compliance and higher collections.
- Higher Consumption & Digital Transactions: Growth in retail and digital payments has expanded the tax base.
- Improved Technology & Monitoring: Automated tax filing and scrutiny of mismatches in returns have enhanced collections.
Outlook for GST in 2025
The consistent 9%+ growth rate indicates that GST collections are on track to exceed fiscal targets. Enhanced enforcement measures, economic growth, and digital taxation initiatives are expected to sustain this momentum. However, import GST's lower growth (5.4%) suggests a need to boost global trade.
The government's focus on reducing tax evasion and expanding compliance measures will likely lead to even better collections in the coming months.
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