GST collections rise 3.2% YoY to Rs 1.94 lakh crore in May

India's gross Goods and Services Tax (GST) collection rose 3.2 per cent year-on-year (YoY) to Rs 1.94 lakh crore in May, government data released on June 1 showed.

The collections moderated from a record Rs 2.42 lakh crore in April but remained higher than the Rs 1.88 lakh crore collected in May last year. Net GST revenue increased 3.3 per cent to Rs 1.67 lakh crore during the month, compared with Rs 1.62 lakh crore a year ago.

IGST contributes the largest share

The GST collection comprised Central GST (CGST) of Rs 37,379 crore, State GST (SGST) of Rs 45,143 crore and Integrated GST (IGST) of Rs 1.16 lakh crore, making it the largest contributor to the overall tax kitty.

The latest numbers suggest that GST revenues continued to remain above the Rs 1.9 lakh crore mark, reflecting resilient tax collections despite moderation from April's all-time high level.

Import-driven growth continues

The growth in GST collections was largely driven by imports.

Gross GST revenue from imports rose 19.1 per cent year-on-year to Rs 59,654 crore in May. In contrast, gross domestic revenue declined 2.6 per cent to Rs 1.35 lakh crore.

On a net basis, customs GST collections increased 19.7 per cent to Rs 49,403 crore, while net domestic revenue fell 2.3 per cent to Rs 1.18 lakh crore.

The data highlights the continued contribution of import-linked taxes to overall GST growth during the month.

Refunds rise 2.6 per cent

Total GST refunds stood at Rs 27,281 crore in May, up 2.6 per cent from the year-ago period.

For the financial year so far, cumulative refunds increased 10.9 per cent to Rs 59,063 crore.

FY27 collections show steady growth

During the first two months of FY27, gross GST collections rose 6.2 per cent year-on-year to Rs 4.37 lakh crore.

Net GST revenue increased 5.5 per cent to Rs 3.78 lakh crore during the April-May period.

Gross domestic revenue grew 1.3 per cent to Rs 3.19 lakh crore, while gross revenue from imports surged 22.3 per cent to Rs 1.17 lakh crore, underscoring the stronger growth momentum in import-related tax collections.

State-wise trends remain mixed

State-level data showed varied performance in May.

Among major states, Karnataka recorded an 11 per cent rise in pre-settlement SGST collections. Andhra Pradesh and Kerala posted growth of 11 per cent and 19 per cent, respectively.

Maharashtra reported an 8 per cent increase, while Uttar Pradesh saw collections rise 9 per cent. Gujarat posted a relatively humble growth of 3 per cent. Delhi turned out to be a significant laggard with a steep 36 per cent dip in pre-settlement SGST collections. Tamil Nadu and Rajasthan also witnessed modest contractions.

After IGST settlement, Haryana posted a strong 22 per cent increase in SGST revenue. Karnataka's collections rose 17 per cent year-on-year, while Gujarat and Andhra Pradesh recorded growth of 16 per cent each. Kerala registered a 15 per cent increase and Telangana grew 14 per cent.

Delhi, however, continued to underperform even after settlement, with SGST collections declining 26 per cent compared with the year-ago period.