GST collections rise 15.4% to over ₹2.11 lakh crore in July; net revenue tops ₹1.81 lakh crore

India's gross Goods and Services Tax (GST) collections rose 15.45% year-on-year to over ₹2.11 lakh crore in July, driven by higher revenue from both domestic transactions and imports, according to official data released on Friday.

Gross GST collections stood at ₹1.83 lakh crore in July 2025 while collections in June this year were around ₹1.95 lakh crore.

During the month, gross Central GST (CGST) collections came in at ₹39,835 crore, while State GST (SGST) collections stood at ₹47,881 crore. Integrated GST (IGST) collections accounted for more than ₹1.23 lakh crore.

Refunds issued during July increased 13.1% year-on-year to ₹29,968 crore. After adjusting for refunds, net GST revenue rose to over ₹1.81 lakh crore.

The latest collections mark the second time in the current financial year that monthly GST revenues have crossed the ₹2 lakh crore mark. Gross collections had touched a record ₹2.43 lakh crore in April, aided by year-end business transactions and annual return filings, before easing to ₹1.94 lakh crore in May and recovering to about ₹1.95 lakh crore in June.

Commenting on the numbers, Manoj Mishra, Partner and Tax Controversy Management Leader at Grant Thornton Bharat, said the July collections reflect the resilience of the Indian economy despite global uncertainties.

"July 2026 GST collections are a compelling vote of confidence in India's economic resilience, with gross revenue rising 15.4% year-on-year to ₹2.11 lakh crore, while net collections increased 15.8% to ₹1.81 lakh crore," Mishra said.

He attributed the performance largely to a 28.8% surge in GST from imports, in line with a sharp rise in imports during June and the depreciation of the rupee, which increased the taxable value of imported energy, commodities and industrial inputs.

According to Mishra, continuing US-Iran hostilities and disruptions across key West Asian energy and shipping routes have pushed up oil prices, freight costs and overall landed costs. However, he noted that the growth was not driven solely by imports.

"Domestic GST grew a robust 10.1%, reflecting resilient household consumption, continued formalisation and sustained industrial activity," he said, adding that strong collections from Maharashtra, Gujarat, Karnataka, Haryana, Telangana and Uttar Pradesh indicate broad-based economic momentum across the country's major manufacturing, services and consumption centres.

Pratik Jain, Partner, Price Waterhouse & Co LLP, said, "If this momentum continues over the next few months, it could provide the Government with the confidence to accelerate the next phase of GST reforms as the regime approaches its 10-year milestone. These reforms may span structural, legislative and administrative measures. GST 3.0 may no longer be a distant idea. It could be closer than many expect."

Mahesh Jaising, Partner & Indirect Tax Leader, Deloitte India, said, "Overall, the July collections reflect not only strong economic fundamentals but also the continuing success of GST as a transformational tax reform. Equally heartening is the emphasis on taxpayer facilitation. Total refunds increased by 13.1% during the month, while export refunds processed through ICEGATE recorded a robust 22.7% growth. The ability to sustain strong revenue growth alongside faster refund disbursements reflects an increasingly efficient GST administration that is balancing fiscal objectives with the liquidity needs of businesses, particularly exporters."