India’s GST Collection Rises 4.6% in October to ₹1.95 Lakh Crore: Key Highlights

India’s goods and services tax (GST) revenue saw a notable rise in October 2025, reaching ₹1,95,936 crore — a 4.6% increase from September’s ₹1,87,346 crore, according to official data released on Friday.

The uptick reflects improved festive demand, strong compliance, and a boost from recent tax reforms introduced by the GST Council.

October GST Performance

Domestic GST collections in October grew 2% year-on-year to ₹1.45 lakh crore, while GST from imports surged 12.84% to ₹50,884 crore. Refunds were also higher, jumping 39.6% to ₹26,934 crore compared to the same month last year.

For the April–October 2025 period, cumulative GST collections stood at ₹13.89 lakh crore — up 9% from ₹12.74 lakh crore during the same period in 2024.

Expert Insights

Commenting on the data, Abhishek Jain, Indirect Tax Head & Partner at KPMG, said the October figures highlight “a strong festive season, rising demand, and a well-absorbed GST rate structure,” pointing to healthy consumption patterns and improved tax compliance.

Mahesh Jaising, Partner & Indirect Tax Leader at Deloitte India, noted that the robust collection “underscores the resilience of India’s economy amid festive momentum and enhanced compliance.” He added that this fiscal strength paves the way for “GST 2.0 reforms” focused on simplifying rates and improving efficiency.

GST Reforms and Their Impact

In September, the GST Council introduced major tax rationalisation, reducing the existing four-rate structure to two slabs — 5% and 18% — to simplify compliance and boost consumption.

Items earlier taxed at 12% and 28% have largely moved into these remaining slabs, making a wide range of goods more affordable. The new rates, effective September 22, 2025, exclude sin goods such as tobacco, pan masala, and cigarettes.