June GST Collections Surge Over 6% as Regional Growth Shines
India's GST collections for June rose by over 6.2% to more than 1.85 lakh crore compared to the same month last year, although slightly down from May's figures. Growth was significant in regions like Nagaland, Sikkim, and Ladakh, reflecting increased infrastructure spending.
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- India
In June, India's Goods and Services Tax (GST) collections increased by over 6.2% to more than ₹1.85 lakh crore compared to around ₹1.74 lakh crore in the same month of the previous year, according to official figures released on Tuesday. Despite a slight dip from May's ₹2.01 lakh crore, the collections signify a positive trajectory following April's peak of ₹2.37 lakh crore.
The month of June witnessed an all-around rise in Central-GST, State-GST, Integrated-GST, and cess collections year-on-year. While the overall growth rate appears subdued, experts attribute this to prevailing geopolitical uncertainties that are impacting consumer sentiment. Notably, data highlights regions such as Nagaland, Sikkim, Tripura, Lakshadweep, and Ladakh as significant growth areas.
Saurabh Agarwal, Tax Partner at EY India, noted, "This uplift suggests increased consumer activity and importantly, a continued thrust on infrastructure spending by the government in these areas, which is a positive indicator for regional development." Achieving a milestone, India's GST system records show a gross collection of ₹22.08 lakh crore for the fiscal year 2024-25, marking a considerable 9.4% growth over the previous year.
(With inputs from agencies.)
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