GST collections in December rise to Rs 1.75 lakh crore; economy shows positive signs

Goods and Services Tax (GST) collections in December 2025 rose 6.1 per cent to about Rs 1.75 lakh crore, up from Rs 1.64 lakh crore in December last year. Collections from Central GST (CGST) and State GST (SGST) went up, while Integrated GST (IGST) fell slightly.

According to official data released on Thursday, from April to December 2025, total GST collections reached Rs 16.5 lakh crore, an increase of 8.6 per cent compared with Rs 15.2 lakh crore during the same period last year. During this period, all components — CGST, SGST, and IGST — saw growth.

In the entire period of the year 2024-25, India hit a big milestone with a tremendous gross GST collection of Rs 22.08 lakh crore, which is 9.4 per cent more than the last year. The monthly average collection topped at Rs 1.84 lakh crore, the highest collection ever since GST was introduced in 2017. Year by year, GST collections have moved up consistently from Rs 11.37 lakh crore in 2020-21 to Rs 20.18 lakh crore in 2023-24, indicating not only higher economic activity but also better compliance.

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The GST Council, led by the Union Finance Minister with state finance ministers as members, has played a pivotal role in the development of the GST system and its simplification. The Council has conducted 55 meetings since 2016 to reduce the difficulties of GST for businesses. A major reform took place on 3 September 2025 under the next-generation GST rationalisation.

The Council reduced GST rates from four slabs—5 percent, 12 per cent, 18 percent, and 28 percent—to two main rates: 5 per cent for merit goods and 18 per cent for standard goods, along with a 40 per cent special rate for luxury and sin goods.

FAQs

Q: How much GST was collection in December 2025?

A: About Rs 1.75 lakh crore, up from Rs 1.64 lakh crore in December 2024.

Q: Which GST components went up?

A: Central GST (CGST) and State GST (SGST) went up, while Integrated GST (IGST) fell slightly.

Q: What is the total GST collected till now in this financial year?

A: From April to December 2025, GST revenue collection was around Rs 16.5 lakh crore, which denotes an increase of 8.6 per cent as compared to Rs 15.2 lakh crore during the same period in 2024.

Q: What was the record GST collection last year?

A: In 2024–25, GST hit a record Rs 22.08 lakh crore, up 9.4 per cent from the year before.

Q: What changed in the September 2025 GST reforms?

A: The GST Council cut rates from four slabs to mainly two: 5 per cent for essentials, 18 per cent standard, and 40 per cent for luxury or “sin” goods. These changes started on September 22, 2025.