GST collections demonstrated robust performance in September, rising 14.7% year-on-year to reach ₹2.04 trillion, according to latest government data. This growth marks the third consecutive month that GST collections have remained above the ₹2 lakh crore mark, indicating sustained strength in India's indirect tax collection system. The collections showed strong momentum across both domestic and international trade segments, with the latest figures showing a slight increase from the previously reported ₹2.03 trillion. As per The Times of India, the increase was driven by higher revenue from both domestic transactions and imports, with gross Integrated GST (IGST) collections increasing to ₹1.20 lakh crore during the month, against ₹1.02 lakh crore in September 2025. The stronger net revenue growth came alongside a 14.7% increase in gross GST collections, with gross collections crossing the ₹2-trillion mark for the third time in six months, after touching ₹2.43 trillion in April and ₹2.11 trillion in July.
Domestic GST revenue rose 10.1% to approximately ₹1.38 trillion, while collections from imports jumped 25.9% to ₹65,525 crore during September, as reported by The Times of India. Central GST collections stood at ₹37,762 crore, while State GST collections were at ₹45,363 crore. However, the divergence between domestic and import-linked collections is more pronounced when viewed cumulatively. Between April and September 2026, gross GST revenue from imports rose 27.1% to ₹3.72 lakh crore, while gross domestic GST revenue increased 6.1% to ₹8.74 lakh crore, indicating stronger growth in import-related collections compared to domestic consumption. The September figures follow a 14.8% year-on-year rise in GST collections to ₹1,99,853 crore in August 2026, with gross GST revenue from imports rising 29% to ₹62,604 crore compared with ₹48,536 crore in August 2025.
Net GST revenue showed even stronger growth, increasing 18.1% year-on-year to ₹1.77 trillion after adjusting for refunds, according to government sources. With refunds taken into account, net GST collections grew faster than gross collections. Net domestic GST revenue increased 13.5% to ₹1.24 lakh crore, while net revenue from customs-related GST jumped 30.8% to ₹52,028 crore. GST refunds slowed to ₹27,001 crore in September, declining 3% year-on-year from ₹27,848 crore, contributing to the overall net collection growth. Domestic refunds declined 13.5% to ₹13,504 crore, while refunds of GST collected through imports rose 10.2% to ₹13,497 crore. The September collection comprised ₹37,762 crore in Central GST, ₹45,363 crore in State GST, and ₹1,20,396 crore in Integrated GST. The latest increase takes the growth in net collections to around 14% in the July-September quarter, compared with around 7% in the April-June quarter, marking the fastest growth in net collections in the past six months.
During the first half of the fiscal year (April-September), gross GST collection grew 11.6% to over ₹12.46 trillion, while net collections rose 10.4% to over ₹10.66 trillion, as reported by The Times of India. This half-year performance demonstrates sustained momentum in India's indirect tax collection system and reflects the overall strength of the country's tax base across different economic cycles. The cumulative figures show that net GST revenue during April-September rose 10.4% to ₹10.66 lakh crore from ₹9.65 lakh crore in the same period last year. The latest monthly numbers have taken India's cumulative gross GST collection for the first half of the financial year to ₹12,46,278 crore, representing an 11.6% increase compared with the corresponding period. According to Business Standard, between October 2025 and July 2026, the value of reported taxable supplies grew by 25.8% over the corresponding period a year earlier, with every month from June through September recording double-digit annual growth and collections for these four months accelerating by nearly 15%.
Andhra Pradesh emerged as a standout performer with 18% year-on-year growth in commercial tax collections, reaching ₹30,435.98 crore during April-September 2026, according to the state Commercial Taxes Department. September recorded the highest monthly collection at ₹4,986.18 crore, representing a 15.03% increase from the previous year. Net GST collections in the state rose 18% to ₹19,635.49 crore for the first half, with September net GST increasing 14.10% to ₹3,182.87 crore. The state's September net GST growth of 14.10% exceeded the national post-settlement average of 8%, positioning it ahead of Karnataka and Telangana at 14%, and Kerala at 9%. Andhra Pradesh attributed this performance to improved tax compliance, enforcement, revenue monitoring and broader economic activity, along with technology-led tax monitoring including AI-based data analytics, automated scrutiny, and predictive analytics. The state's AI-based tax administration model has drawn interest from other states, with delegations from Rajasthan and Chhattisgarh visiting in September to study its technology-led tax systems.
