Goods And Services Tax: GST Collection Surges to ₹1.70 Lakh Crore in November, States Also Benefit from Reforms

According to government data released on Monday, India's gross Goods and Services Tax (GST) collection for November increased by 0, while 7 percent, surpassing the ₹1. 70 lakh crore mark, while this surge indicates the positive impact of the GST reforms implemented by the government. In comparison, the gross GST collection in November 2024 stood at ₹1. 69 lakh crore, marking a notable increase this year. This figure suggests a continuous improvement in the country's economic activities and enhanced tax compliance.

Significant Rise in Import Revenue

Revenue from the import of goods also witnessed a significant rise in November, while import revenue grew by 10. 2 percent, reaching ₹45,976 crore. This increase reflects an improvement in global trade and a growing demand for imported goods within the country. The rise in GST from imports has been a major contributor to the overall collection, strengthening government coffers. It indicates that the Indian economy is solid not only on the domestic front but also in the realm of international trade.

Impact of GST Rate Cuts

However, following the reduction in GST rates for 375 items, effective from September 22, a specific component of GST revenue saw a 2, while 3 percent decrease, falling to just over ₹1. 24 lakh crore. This decline is attributed directly to the reduction in tax rates on these items, aimed at providing relief to consumers and boosting demand in certain sectors, while despite this, the overall increase in gross and net GST collection suggests that the negative impact of rate cuts on total revenue has been limited, balanced by other contributing factors.

Increase in Net Revenue as Well

Net GST revenue in November stood at ₹1,52,079 crore, which is 1, while 3% higher than the previous year. This figure is obtained after deducting refunds and other adjustments from the gross collection, representing the government's actual revenue. Plus, the year-on-year net revenue has reached ₹12,79,434 crore, marking an annual growth of 7. 3%. This consistent growth is a testament to the nation's financial stability. And a strong tax base, signaling positive prospects for the future.

States Also Benefited

In November, not only did the country's overall collection increase, but several major states also recorded significant growth in their revenues. Haryana's collection grew by 17 percent, Kerala's by 8 percent, and Assam's by 18 percent, indicating a boost in economic activities within these states. On top of that, Gujarat and Tamil Nadu saw their collections increase by 1 and 2 percent respectively, while Rajasthan experienced a 6 percent rise, while this growth will provide states with more financial resources for their development projects and welfare schemes.

Refund Status Overview

Refunds showed mixed dynamics, with total refunds recorded at ₹18,196 crore, a 4% decrease year-on-year. Export refunds increased by 3. 5%, which is a positive sign for the export sector, while domestic refunds declined by 12%. This refund situation reflects various aspects of procedural efficiency for taxpayers and cash flow management for the government. The increase in export refunds provides an incentive to exporters, which is crucial for the country's trade balance.

Collection Compared to Previous Months

While the November collection increased year-on-year after the GST rate cuts, it saw a decline compared to previous months, while in October, the total GST collection had risen to ₹1. 96 lakh crore from ₹1. 89 lakh crore in September, while On top of that, in May 2025, the collection had surpassed the ₹2 lakh crore mark. This month's collection is lower than that of the preceding few months, which could be due to seasonal factors or temporary shifts in specific economic activities. Nevertheless, it's significant that the collection remains at a strong level of ₹1. 70 lakh crore, demonstrating the underlying strength of the economy.

Long-term Impact of Government Reforms

The long-term impact of the GST reforms undertaken by the government is clearly visible, while improved tax compliance, promotion of digitalization, and expansion of the tax base are key reasons for these positive outcomes. Continuous efforts are being made to make the GST system more efficient, with expectations of further revenue growth in the future. This system is playing a crucial role in formalizing the. Country's economy and achieving the goal of 'one nation, one tax'.