India’s Goods and Services Tax (GST) collection has crossed ₹2 lakh crore for the second consecutive month, reaching ₹2.01 lakh crore in May 2025. This represents a significant 16.4% year-on-year growth compared to May 2024.
### Key Highlights
– *Gross GST Revenue*: ₹4.37 lakh crore, up 14.3% from ₹3.83 lakh crore in May 2024
– *Domestic Transactions*: 13.7% increase, contributing ₹1,49,785 crore to GST revenue
– *Imports*: 25.2% growth, with GST revenue from imports standing at ₹51,266 crore
– *Net GST Revenue*: ₹1,73,841 crore, up 20.4% after refunds
### Expert Insights
– Abhishek Jain, Partner and Head of Indirect Tax at KPMG in India, attributes the growth to strong underlying momentum and a recovering economy.
– Vivek Jalan, Partner at Tax Connect Advisory Services LLP, notes that import-driven GST revenues are driving growth, with a 73% increase in import GST revenues.
### Implications
The consistent growth in GST collections indicates a positive economic trend. However, experts suggest that the trend may be influenced by countries dumping goods in India, potentially due to reduced sales in the US. This might necessitate implementing anti-dumping duties on certain products.
### Budget Projections
The government has projected an 11% increase in GST revenue for the year, estimating collections at ₹11.78 lakh crore, including Central GST and compensation cess.
