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September GST collections rise 9.1% to reach ₹1.89 lakh crore

BusinessSeptember GST collections rise 9.1% to reach ₹1.89 lakh crore

India’s gross goods and services tax (GST) collections rose 9.1% year-on-year in September to ₹1.89 lakh crore, the finance ministry data showed on Wednesday.

The mop-up compares with ₹1.73 lakh crore collected in the same month last year.

In August, GST collections grew 6.5% year-on-year to ₹1.86 lakh crore.

For the April–August period, gross collections rose 9.9% to ₹10.04 lakh crore, up from ₹9.14 lakh crore a year earlier. Net revenue in those first five months stood at ₹8.78 lakh crore, an increase of 8.8% from ₹8.07 lakh crore in the year-ago period.

India’s Goods and Services Tax (GST) system underwent a major overhaul earlier this month, as the GST Council approved a simplification of the tax structure.

The previous four tax slabs were reduced to two primary rates of 5% and 18% for most goods and services, while ultra-luxury and demerit items are now taxed at 40%. The move, which became effective from Sept 22, eliminates the earlier 12% and 28% slabs, aiming to boost transparency, ease compliance for businesses, and provide relief to consumers.

Officials have said the reform is expected to streamline tax administration and support economic growth by encouraging consumption and investment.

Also Read:GST on hotels slashed, but bills remain the same-here’s why

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