New Delhi. Another positive news has emerged that strengthens India’s economic condition. A significant increase has been recorded in the Goods and Services Tax (GST) collection in December 2025 on an annual basis. This increase not only reflects accelerating economic activity but also clearly signals improvement in tax compliance.
GST collection reaches close to Rs 1.75 lakh crore in December 2025
According to the data, the country’s total GST collection in December 2025 stood at around Rs 1.75 lakh crore, which is 6.1 percent more than the previous year. This growth shows that trade, industry and consumption activities are continuing to grow.
Strong performance so far in the financial year 2025-26
The total GST collection during the financial year 2025-26 (April to December) has reached about Rs 16.5 lakh crore. This is an increase of about 8.6 percent compared to Rs 15.2 lakh crore in the same period of the last financial year. These continuously increasing figures are considered encouraging for India’s economy.
Strengthening of CGST, SGST, decline in IGST
Central GST (CGST) and State GST (SGST) collections recorded growth during December 2025, while Integrated GST (IGST) saw a slight decline on an annual basis. However, if we look at the data for the entire financial year, there has been an overall growth in all three components CGST, SGST and IGST, which shows the stability of the GST system.
Picture changed with next generation GST reforms
Major changes were implemented under the GST reforms in September 2025. In the 56th meeting of the GST Council, simplifying the tax structure, instead of four slabs, two main rates were fixed at 5 percent and 18 percent. Apart from this, a special rate of 40 percent was kept for sin and luxury goods. The objective of these changes was to reduce the tax burden on common citizens and make business easier.
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