India’s Goods and Services Tax (GST) collections recorded a strong uptick in March, crossing the ₹2 lakh crore mark, reflecting improved revenue momentum and economic activity towards the close of FY26.
Monthly Performance and Growth Trends
Gross GST collections for March stood at ₹2 lakh crore, marking an 8.8% year-on-year increase. This represents the highest monthly collection in the last 10 months, indicating a recovery after relatively moderate inflows in preceding months.
On a sequential basis, collections rose from ₹1.84 lakh crore in February, highlighting a rebound following a short-term slowdown.
Between June 2025 and January 2026, GST revenues largely remained within the range of ₹1.70 lakh crore to ₹1.96 lakh crore, with the lowest level recorded in November at ₹1.70 lakh crore, following rate rationalisation measures announced earlier in September.
Despite the recent improvement, the all-time high GST collection remains ₹2.37 lakh crore, achieved in April 2025.
Detailed Revenue Composition
A closer look at the March figures shows:
- Domestic GST revenue: ₹1.46 lakh crore (up 5.9% YoY)
- Revenue from imports: ₹53,861 crore (up 17.8% YoY)
The stronger growth in import-related tax collections played a key role in driving the overall increase.
Refunds and Net Collections
GST refunds during March rose by 13.8% year-on-year to ₹22,074 crore. After accounting for refunds, net GST collections stood at ₹1.78 lakh crore, reflecting an 8.2% annual growth.
FY26 Performance Overview
For the full financial year FY26, gross GST collections reached ₹22.27 lakh crore, compared to ₹20.55 lakh crore in FY25, registering a growth of 8.3%.
This steady increase underscores resilience in tax collections and sustained economic activity, supported by compliance measures and improved reporting efficiency.
Summary
India’s GST collections touched ₹2 lakh crore in March, up 8.8% year-on-year and the highest in 10 months. Growth was driven by strong import-related tax revenues, while net collections stood at ₹1.78 lakh crore after refunds. For FY26, total GST collections rose 8.3% to ₹22.27 lakh crore, indicating stable revenue growth.
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
Investments in securities markets are subject to market risks. Please read all related documents carefully before investing.