GST Collections Cross ₹2 Lakh Crore In March, Up 9% YoY; FY26 Total Rises 8.3% To ₹22.27 Lakh Crore

New Delhi: India’s GST collections saw a healthy rise in March 2026. The total GST collection crossed Rs 2 lakh crore, growing about 9 percent compared to last year. This marks the third-highest monthly collection in FY26, showing steady tax inflows.

In March 2025, GST collections stood at Rs 1.83 lakh crore, highlighting a clear improvement this year.

Domestic and import revenues drive growth

The growth was supported by both domestic and import-related tax collections.

Domestic GST revenues rose 5.9 percent to over Rs 1.46 lakh crore

GST from imports jumped sharply by 17.8 percent to Rs 53,861 crore

This shows strong demand in the economy as well as higher imports contributing to tax collections.

FY26 collections remain strong overall

For the full financial year 2025-26, GST collections grew 8.3 percent year-on-year to over Rs 22.27 lakh crore.

The highest monthly collection in FY26 was recorded in April 2025 at over Rs 2.36 lakh crore, followed by May at over Rs 2.01 lakh crore. March now ranks as the third-highest.

Impact of tax cuts and reforms

GST rates were reduced on around 375 items from September 2025, making goods cheaper. The tax structure was also simplified by merging slabs into mainly 5 percent and 18 percent, with a 40 percent rate for luxury and tobacco items.

After these changes, collections dipped initially. GST fell to Rs 1.70 lakh crore in November but gradually recovered:

December: Rs 1.74 lakh crore

January: Rs 1.93 lakh crore

February: over Rs 1.83 lakh crore

This shows that revenues stabilised after the initial impact of tax cuts.

Refunds and net collections

Refunds issued in March rose 13.8 percent to Rs 22,074 crore.

After adjusting refunds, net GST collections stood at about Rs 1.78 lakh crore, up 8.2 percent compared to last year.

Experts’ view and outlook

Experts say strong GST numbers reflect healthy consumption in the economy. Higher imports also boosted collections and likely increased customs duty revenues.

However, they remain cautious about the future. Rising global tensions and inflation may affect demand in the coming months. Some states like Maharashtra, Karnataka and Telangana showed strong growth, while others lagged.