GST Collection Hits ₹2.01 Lakh Crore in May 2025, Grows 16.4% Year-on-Year
India’s Goods and Services Tax (GST) collections for May 2025 recorded a strong year-on-year growth of 16.4%, reaching ₹2.01 lakh crore, as per data released by the Ministry of Finance. This marks a significant jump from ₹1.72 lakh crore collected in May 2024.
FINANCEMARKETAINMENT
Neurotainment
6/1/20251 min read
Though the May figures are slightly lower than April 2025’s record-high GST collection of ₹2.37 lakh crore, the consistent growth highlights a steady momentum in economic activity and tax compliance.
Key Drivers of Growth
The increase in GST revenue was fueled by:
A 25.2% surge in GST collected from imports, totaling ₹51,266 crore.
A 13.7% rise in domestic GST collections, contributing ₹1,49,785 crore.
These figures reflect a broader trend of rising consumption and trade activity both within the country and internationally.
Net Revenue and Refunds
After adjusting for refunds, the net GST revenue for May 2025 stood at ₹1,73,841 crore — a 20.4% rise over ₹1,44,381 crore in May last year. Refund payouts for the month amounted to ₹27,210 crore, showing a 4% decline compared to May 2024.
Fiscal Outlook
According to the Union Budget projections, the government aims to achieve an 11% annual increase in GST revenues for the fiscal year, targeting a total collection of ₹11.78 lakh crore. This includes revenue from both Central GST and compensation cess.