GST@8: India’s GST Collections Hit All-Time High of Rs 22.08 Lakh Crore in FY 2024-25 Ahead of 8th Anniversary

India's Goods and Services Tax (GST) will mark its eighth anniversary on 1 July 2025. Introduced in 2017. For the financial year 2024-25, GST collections have reached a historic high of Rs 22.08 lakh crore, according to an official announcement made on Monday. This represents a 9.4% increase over the previous financial year, underscoring the continued growth and stability of the tax regime.

"In 2024-25, GST recorded its highest-ever gross collection of Rs 22.08 lakh crore, reflecting a year-on-year growth of 9.4 percent. The average monthly collection stood at Rs 1.84 lakh crore," government's official notification stated.

GST Collection in Last Five Years: Year-wise Data of GST Collection

According to recent government data, GST collections have shown strong and steady growth over the past five years. In the financial year 2020-21, total GST collections were Rs 11.37 lakh crore, with a monthly average collection of Rs 95,000 crore.

Since then, collections have increased consistently, rising to Rs 14.83 lakh crore in 2021-22, Rs 18.08 lakh crore in 2022-23, and Rs 20.18 lakh crore in 2023-24. For the financial year 2024-25, GST collections reached a record high of Rs 22.08 lakh crore, marking a 9.4% increase compared to the previous year.

Gross GST Collection Have Double in 5 Years

The data also reveals that gross GST collections have nearly doubled in the last five years, which indicates improved tax compliance and stronger economic activity across the country. As of 30 April 2025, there are more than 1.51 crore active GST registrations in India. Among these, over 1.32 crore are normal taxpayers, 14.86 lakh are registered under the composition scheme, which allows small taxpayers to pay tax at a fixed rate, and 3.71 lakh fall under Tax Deducted at Source (TDS) and other taxable categories.

GST Monthly Collection Report: GST Collection in May 2025

Looking at monthly data, GST collections for May 2025 showed significant growth. The total gross GST revenue for the month increased by 16.4% year-on-year to cross Rs 2.01 lakh crore, according to government data released on 1 June 2025. Of the total revenue, collections from domestic transactions rose by 13.7% to Rs 1.50 lakh crore, while GST revenue from imports grew by 25.2% to Rs 51,266 crore.

Structure and Key Features of GST

The GST replaced a fragmented system of indirect taxation with a unified, nationwide framework. A detailed breakdown shows that Central GST (CGST) collections stood at Rs 35,434 crore, State GST (SGST) collections were Rs 43,902 crore, and Integrated GST (IGST) amounted to Rs 1.09 lakh crore for May 2025. Meanwhile, total GST refunds issued during the month dropped by 4% to Rs 27,210 crore, according to the latest data.

The GST Council determines India's GST rates, comprising representatives from both Union and State governments. The current structure includes four main rate slabs including 5%, 12%, 18%, and 28%. Special rates apply to certain items like gold at 3% and rough diamonds at 0.25%. A Compensation Cess is levied on select goods to compensate states for revenue losses due to GST implementation.

The GST Council plays a crucial role in shaping India's Goods and Services Tax framework. Constituted under Article 279A following constitutional amendments in 2016, it includes members such as the Union Finance Minister as Chairperson.

The Council has held numerous meetings since its formation, making significant decisions like introducing e-Way Bills for monitoring goods movement or promoting green mobility through rate cuts on electric vehicles.