Goods and services tax (GST) revenue growth rate declined to 6.5 per cent in September at ₹1.73 lakh crore as the rise in collections from domestic transactions as well as imports slowed.
According to government data released on Tuesday, GST revenues in September last year were ₹1.63 lakh crore, while in August 2024, the mop-up was ₹1.75 lakh crore.
Gross domestic revenue grew 5.9 per cent to about ₹1.27 lakh crore. Revenue from import of goods was up 8 per cent to ₹45,390 crore.
Refunds worth ₹20,458 crore were issued during the month, an increase of 31 per cent over the year-ago period.
After adjusting refunds, the net GST revenue in September stood at ₹1.53 lakh crore, 3.9 per cent higher than the year-ago period.
GST collections during the April-September period of the current fiscal year grew 9.5 per cent to over ₹10.87 lakh crore.
The pace of average GST collections has declined to ₹1.77 lakh crore monthly in the second quarter compared with ₹1.86 lakh crore in the first quarter of FY25.
Vivek Jalan, partner Tax Connect Advisory Services LLP, said: “A tax buoyancy of less than 1 may concern the GST Council. The three group of ministers are working simultaneously on real estate, rate rationalisation and insurance.
"With the tax buoyancy moving southwards, it is expected that the next GST Council meeting should see some far sighted measures on revenue enhancement,” Jalan said.
