Skip to main content

Net GST revenue collection up 7.9% at ?1.61 trillion in February

By

 The net goods and services tax (GST) revenue in February rose 7.9 per cent year-on-year to ?1.61 trillion, excluding GST compensation cess receipts, marking the highest growth rate in the past six months, according to government data released on Sunday.In absolute terms, the net GST revenue for February is the third highest in the last six months, after January at ?1.7 trillion and October at ?1.69 trillion. On a sequential basis, February’s collection declined by nearly 5.7 per cent, the data showed.The Centre discontinued the compensation cess from February 1. The compensation cess of ?5,063 crore reported in February relates to transactions carried out in January. Total GST refunds rose 10.2 per cent, with domestic refunds declining 5.3 per cent and import-related refunds rising 26.5 per cent. Meanwhile, gross GST revenue increased 8.1 per cent to ?1.83 trillion, though sequentially it fell 5.05 per cent from January, when overall revenue stood at ?1.93 trillion. Gross revenues from imports grew 17.2 per cent to ?47,000 crore, while revenues from domestic transactions increased 5.3 per cent to ?1.35 trillion.According to Saurabh Agarwal, partner at EY, India’s continued rise in GST collections, despite persistent global uncertainties, underscores the economy's inherent resilience and growing formalisation.

“The strong uptick in regions such as the Union Territory of Jammu & Kashmir, Bihar, Sikkim, Nagaland, Manipur, Meghalaya, Odisha, and Ladakh reflects the deepening of economic activity across the country, signalling that growth is becoming more broad-based than ever,” Agarwal said.In September, the GST Council undertook a major exercise in rate rationalisation to boost consumption and improve ease of doing business. “Domestic GST revenues continue to show resilience, while higher import-led integrated GST collections point to sustained trade activity. This follows the reduced rates after GST 2.0, reflecting strong and sustained growth in domestic consumption,” said Mahesh Jaising, partner and indirect tax leader, Deloitte India.According to Abhishek Jain, partner at KPMG, the data indicates steady economic momentum and improved compliance. He said the growth reflects a combination of resilient consumption supported by GST rate rationalisation, formalisation of businesses, and enhanced enforcement through technology-driven monitoring.

 

-Business Standard 02nd March,2026

Comments

Post a Comment

Popular posts from this blog

Data storage norm splits digital payments industry

By
Data storage norm splits digital payments industry  India’s nascent digital payment industry could be thrown into disarray due to the demand by the Reserve Bank of India (RBI) that all user data be stored within the country, fears an industry grouping, which has termed the decision as “heavy-handed”, even as others, including the country’s largest digital payment provider Paytm, have hailed the move.  In a bid to narrow the growing schism, the industry is planning to send a formal representation to the regulator highlighting its concerns, a top official told ET.  “We are trying to build a consensus on the issue," said the person adding that the representation to the central bank will be ready this week.  RBI on April 6, mandated all payment companies—global and local—to set up data storage facilities within India by October. The stringent six-month deadline has attracted the ire of several sections of the industry that fear it will lead to a disruption of wel...
18 comments
Read more

Sebi to finalise options in commodities today

By
The Commodity Derivatives Advisory Committee of the Securities and Exchange Board of India ( Sebi) will meet on Friday with senior officials of the latter, to give a final shape to the rules on options trading in commodity futures, beside revising the warehousing norms to ensure good delivery on settlement. The decision taken, after discussing with the advisory committee, will be placed before the regulator’s board, to finalise the regulations. According to knowledgeable sources, three commodities in each segment, agricultural and non- agricultural, have been proposed for introducing options. It appears commodities from the soya and guar segments are preferred in the former. From the non- agri segment, it is likely that gold, silver and crude oil will be finalised. All these These have better liquidity and both the National Commodity and Derivatives Exchange and the Multi Commodity Exchange, respectively, will be able to introduce the options. In the equity segments, options ar...
17 comments
Read more

E tailers global warehouses may come under tax net

By
E tailers  global warehouses may come under tax net Warehouses of e-commerce companies based in countries such as Australia, Japan, Italy,  Spain, the Netherlands, and Russia may not be exempted from paying the income tax in India  once the multilateral instrument (MLI) to prevent base erosion and profit shifting (BEPS)  comes into force. BEPS refers to the reporting framework mooted by the Organisation for Economic  Co-operation and Development (OECD) and signed by over 100 countries, including India, to  prevent exploiting gaps and mismatches in tax rules to shift profits by multinational  companies (MNCs) artificially to low-tax regimes. The representatives of 68 countries on June 7 this year signed an agreement (MLI) in Paris  to amend their tax treaties to bring them in alignment with measures to prevent BEPS.  However, there is still time for synchronising tax treaties with the multilateral  instrument. India has submitte...
17 comments
Read more