India collected Rs. 2.11 lakh crore in Goods and Services Tax (GST) in July, marking a 15.4% increase compared to the same month last year. The latest figures are mostly driven by domestic transactions and imports. Last year, in the same period, Gross GST collections stood at Rs 1.83 lakh crore. This year, in the previous month, the Centre has collected around Rs 1.95 lakh crore in June 2026, which makes July the second consecutive month in which collections remained more than Rs. 2 lakh.
The July collection included revenue from Central GST (CGST), State GST (SGST), Integrated GST (IGST), and GST compensation cess. As per the reports, the CGST was around Rs. 39,835 crore, Rs. 47,881 crore from SGST, and finally, IGST was over Rs. 1.23 lakh crore.
However, the government also maintained a steady flow of refunds. GST refunds rose 13.1% from the previous year, which was around Rs. 29,968 crore in July. After this refund, net GST revenue stood at over Rs. 1.81 lakh crore, indicating a steady flow.
About the growth, Indirect Tax Head & Partner, KPMG, Abhishek Jain, said, “July’s GST collections have come in strong, and the momentum looks healthy. Much of the growth this month was driven by imports…Domestic collections have grown steadily too, and with refunds also rising and there being fiscal headroom possibly, this may be a good moment to start thinking about a GST 3.0 - specifically refunds on input services for inverted duty structure companies.”
The numbers also suggest that digital tax systems and improved monitoring are helping increase revenue. Better compliance has reduced tax leakages and strengthened overall collections.
The strong GST collection is another sign that business activity remains healthy in India. Higher tax revenue often points to better consumer spending and steady growth across different sectors.
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If this trend continues, the government will have more resources for infrastructure, public services, and other development projects. Strong collections also give confidence that the economy is moving in the right direction.