India's GST Collections Show Robust Growth in July 2025

India's gross Goods and Services Tax (GST) collection witnessed a significant 7.5% year-on-year increase, reaching Rs 1.96 lakh crore in July 2025. This growth was primarily driven by higher domestic revenues, as reported by the finance ministry.

Comparative Analysis of GST Collections

The gross GST collection in July 2024 was recorded at Rs 1.82 lakh crore, with the June 2025 figures slightly higher at Rs 1.84 lakh crore. Domestic revenue saw a 6.7% rise to Rs 1.43 lakh crore, while tax on imports increased by 9.5% to Rs 52,712 crore.

Net GST Revenue and Refunds

Net GST revenue for July 2025 stood at Rs 1.69 lakh crore, showing a 1.7% increase from the previous year. Refunds surged by an impressive 66.8% year-on-year to Rs 27,147 crore, aiding businesses with necessary working capital.

Expert Insights on GST Trends

Saurabh Agarwal, EY India Tax Partner, highlighted the stable consumption pattern and consistent economic growth despite global pressures. Abhishek Jain from KPMG noted the maturity of the GST regime with increased refunds aiding business cash flows. Karthik Mani of BDO India pointed out the collective growth across states and the significant role of IGST on imports in the overall collection growth.

Looking Ahead

The encouraging 8.4% growth rate in net GST collections year-to-date is expected to influence the GST Council's decisions on rate rationalization and tax slabs.