GST Revenue Surges to Record High of Rs 2.37 Lakh Crore in April 2024, Reflecting Economic Resilience

The Goods and Services Tax (GST) collection in India reached a record high of approximately Rs 2.37 lakh crore in April, marking a 12.6% year-on-year increase. This surge highlights the resilience of the Indian economy and the success of cooperative federalism. Finance Minister Nirmala Sitharaman expressed gratitude to taxpayers and congratulated state finance ministers and GST officials for their efforts.

Representative image

In March 2025, the GST collection stood at Rs 1.96 lakh crore. The net GST mop-up for April was Rs 1.92 lakh crore, while in April 2024, it was Rs 2.10 lakh crore, making it the second-highest collection since GST's introduction on July 1, 2017. The latest data reveals that domestic transaction revenue increased by 10.7% to about Rs 1.9 lakh crore, and revenue from imported goods rose by 20.8% to Rs 46,913 crore.

Record GST Collections Reflect Economic Strength

Deloitte India Partner M S Mani noted that crossing Rs 2 lakh crore in net GST collections at the start of the fiscal year indicates strong economic performance in March 2025. EY Tax Partner Saurabh Agarwal highlighted that these record collections underscore India's economic strength amid global uncertainties. He added that government measures to expedite export and other GST refunds have eased industries' working capital burdens.

Refund issuance increased by 48.3% to Rs 27,341 crore in April. After adjusting for refunds, net GST collection rose by 9.1% to over Rs 2.09 lakh crore. KPMG's Indirect Tax Head & Partner Abhishek Jain mentioned that the all-time high collections indicate robust economic activity and are partly due to year-end reconciliation processes leading to additional tax payments.

Breakdown of GST Collections

Central GST from domestic transactions amounted to Rs 48,634 crore in April, while state GST collections were Rs 59,372 crore. Integrated GST and cess collections from domestic transactions were Rs 69,504 crore and Rs 12,293 crore, respectively. The uniform high growth rate across major producing and consuming states ranged between 11% and 16%, unlike previous months where some large states experienced lower growth.

Agarwal also mentioned that while a potential moderation in absolute GST collections is expected next month due to global economic conditions, the overall outlook for India's economy remains positive.

The impressive GST collections reflect ongoing recovery and growth within the Indian economy. The government's proactive measures have not only supported industries but are also likely to benefit consumers over time.