GST revenue growth accelerates sharply in June, touches Rs 1.95 lakh crore

India’s gross GST collections rose 13.9 per cent year-on-year to about Rs 1.95 lakh crore in June, according to government data released on Wednesday, with a sharp rise in import revenues driving the increase.

Gross collections from domestic transactions grew 6.5 per cent to about Rs 1.35 lakh crore, while revenues from imports climbed 34.6 per cent to Rs 60,038 crore.

Gross GST collections had stood at Rs 1.71 lakh crore in June 2025, marking a significant acceleration from May 2026, when collections had grown 3.2 per cent year-on-year. The June performance was the strongest annual expansion since May 2025, when GST revenues had increased 16.4 per cent.

Import-related GST revenue emerged as the biggest contributor to the rise, jumping to Rs 60,038 crore from Rs 44,600 crore a year earlier. In comparison, domestic gross GST revenue recorded a more modest increase of 6.5 per cent to Rs 1.35 lakh crore, indicating that external trade played a larger role in boosting overall collections.

Refund payments also remained elevated during the month. Total refunds rose 29.1 per cent year-on-year to Rs 32,436 crore.

After adjusting for refunds, net GST collections increased 11.2 per cent to more than Rs 1.62 lakh crore in June.

The higher refund outgo partly offset gains in gross collections, even as overall revenue growth remained strong.

On a cumulative basis, gross GST collections during April-June 2026 rose 8.4 per cent year-on-year to Rs 6.32 lakh crore. Net collections for the period increased 7.1 per cent to Rs 5.40 lakh crore, pointing to a steady but not broad-based start to FY27.

Among major states, Uttar Pradesh recorded the strongest growth in June, with GST collections rising 19 per cent to Rs 9,165 crore from Rs 7,675 crore a year earlier.

Assam followed with growth of 17 per cent, while Punjab registered a 14 per cent increase and Gujarat posted 12 per cent growth.

Maharashtra, the largest contributor to GST revenues, saw collections rise 9 per cent to Rs 30,714 crore. Karnataka recorded 10 per cent growth, while Delhi posted an 8 per cent increase.

Some large states reported weaker performances. GST collections in Rajasthan declined 5 per cent, while Madhya Pradesh also registered a 5 per cent fall. Tamil Nadu recorded a 2 per cent contraction, and Jharkhand posted a sharper decline of 16 per cent.