GST Collection For September Jumps 9.1% To Rs 1.89 Lakh Crore | Economy News

GST Collection For September

GST Collection Data September 2025: India’s goods and services tax (GST) collection increased 9.1% to Rs 1.89 lakh crore in September on an annual basis, government data stated.

India’s gross Goods and Services Tax (GST) collections rose 6.5% year-on-year to Rs 1.86 lakh crore in August 2025, compared to Rs 1.75 lakh crore in August 2024.

The net GST collection for August climbed 10.7% to Rs 1.67 lakh crore. In contrast, July’s net GST mop-up had eased to Rs 1.68 lakh crore due to higher refunds issued during that month.

For the April–August period, GST revenues totalled Rs 10.04 lakh crore, marking a 9.9% increase from Rs 9.13 lakh crore collected during the same period last year.

New GST Reforms

The GST Council in September rationalised the indirect tax structure, reducing the four-rate slab system to two slabs, addressing a long-standing demand from the Indian middle class.

Items previously taxed at 12% and 28% will now largely shift to the remaining 5% and 18% slabs, making a broad range of products more affordable and, policymakers hope, stimulating consumption at a time when the economy seeks fresh momentum.

The GST rate changes will apply to all goods except pan masala, gutkha, cigarettes, chewing tobacco products such as zarda, unmanufactured tobacco, and bidi, and will take effect from September 22, 2025.

This reform follows Prime Minister Narendra Modi’s Independence Day announcement, in which he promised a “Diwali gift” through a GST overhaul. The proposal was subsequently reviewed by a Group of Ministers and received approval from the GST Council at its September 3–4 meeting.