The total collection of Goods and Services Tax (GST) in October rose by 4.6% to Rs 1.95 lakh crore, despite rate cuts implemented on September 22, according to data released by the Ministry of Finance on Saturday. In the same month last year, collections stood at Rs 1.87 lakh crore.
As per the Ministry of Finance data released on November 1, 2025, the Central GST (CGST) accounted for Rs 36,547 crore, State GST (SGST) Rs 45,134 crore, and Integrated GST (IGST) Rs 1,06,443 crore. Additionally, the government collected Rs 7,812 crore from cess. With the compensation cess eliminated under GST 2.0—except for sin goods—cess collections fell by over 30% in October compared to September.
“Even after the GST 2.0 rate cuts, the 0.6% growth in total net GST revenue reaffirms that the boost in consumption has, to some extent, balanced the revenue decline caused by the rate cuts. The current month’s figures also reflect the release of pent-up consumption post-August 15, 2025, when the rate cuts were announced,” said Vivek Jalan, Partner at Tax Connect Advisory Services.
The total gross GST collection rose by 3.6% in October, from Rs 1.89 lakh crore in September. Refunds in October fell by 6% to Rs 26,934 crore, down from Rs 28,657 crore in September. Despite the growth, the rate of increase nearly halved from September’s four-month high of 9.1%.
The festive season and rate rationalization significantly boosted consumer demand, particularly in sectors such as automobiles, FMCG, and electronics, including rural and semi-urban areas. While most states saw a year-on-year decline in GST collections due to the rate cuts, states and union territories like Arunachal Pradesh, Nagaland, Lakshadweep, and the Andaman and Nicobar Islands recorded double-digit growth in collections.