GST mop-up sees six-month high in Oct with Rs 1.87 trillion, up 8.9% Y-o-Y

Goods and Services Tax (GST) collections climbed to a six-month peak of Rs 1.87 trillion in October, remaining above the Rs 1.7 trillion threshold for the eighth consecutive month, according to government data released on November 1.

 

The collections were up 8.1 per cent from the previous month and saw an 8.9 per cent increase year-on-year, rising from Rs 1.72 trillion.

 

From April to October 2024, gross GST collections on a year-to-date basis reached Rs 12.74 trillion, marking a 9.4 per cent increase compared to Rs 11.64 trillion during the same period last year. Net GST revenue, after refunds, amounted to Rs 1.68 trillion for October 2024, reflecting a 7.9 per cent increase from Rs 1.55 trillion in October 2023.

 

The rise in GST revenues indicates stronger economic performance compared to recent months when collections had declined.

 

However, September’s GST revenue growth rate was the lowest since the Covid period, at 6.5 per cent.

 

The average monthly GST collections also showed a deceleration, with Rs 1.77 trillion in the second quarter compared to Rs 1.86 trillion in the first quarter of FY25.

 

Revenue collections varied significantly across states, with Ladakh posting the highest growth rate at 30 per cent, followed by Kerala at 20 per cent and Haryana at 15 per cent. In contrast, Arunachal Pradesh and the ‘Other Territory’ category recorded declines of 33 per cent and 37 per cent, respectively.

 

In August 2024, the GST mop-up stood at Rs 1.75 trillion. Gross domestic revenue expanded by 5.9 per cent to approximately Rs 1.27 trillion, while revenue from goods imports grew by 8 per cent to Rs 45,390 crore. Refunds issued in August amounted to Rs 20,458 crore, an increase of 31 per cent over the previous year.