In February 2025, Goods and Services Tax (GST) revenue collections increased by 9.1%, reaching Rs. 183,646 crore, primarily driven by a robust double-digit growth in revenue from domestic sources.
GST on a gross basis from domestic sources, which is directed to the transactions within the country, has surged to 10.2% to Rs 1,41,945 crore while those pertinent to the imports were up 5.4% showing that the shipments value into the country saw a limited surge.
The stronger GST collection numbers show that the Indian economy is withstanding global economic challenges. The successive rise in the domestic GST revenue compared to the import-related points to the effective implementation of Atmanirbhar Bharat policies.
From a healthy growth in refunds, tax experts are too relaxed, which was approximated to have surged 17.3% to Rs 20,880 crore. Collections on a net basis were up 8.1% at Rs 1,62,758 crore, official data revealed.
The GST collection this year is almost on target and that is one of the causes that the actual fiscal deficit for FY24-25 of 4.8% is estimated to be below the budgeted 4.9%. It is encouraging to witness that the rise in the GST on imports is 7.2% merely vis-a-vis the rise in domestic GST collection of 10.1%. If at all it shows that India is getting more ‘Atmanirbhar’.
A rise of 15.8% in refunds (including export refunds) coupled with this, is a positive sign. It reveals that now India is also making for the world. In between the geo-political headwinds, India seems to be handling effectively.
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Haryana and Tripura registered an increase of 20% and 21%, respectively. At the other end of the spectrum, Mizoram (-16%), Manipur (-9%) and J&K (-2%) were the laggards, and Telangana (1% increase), Gujarat (3%) and Andhra Pradesh (4%) reported a muted rise.
