India’s Goods and Services Tax (GST) collections for October 2025 —a reflection of business activity in September—grew 4.6% year-on-year to ₹1.96 lakh crore, indicating resilience in consumption despite extensive GST rate rationalisation during the month. While the uptick aligns with government expectations, industry experts believe the upcoming months will offer a clearer picture of revenue buoyancy under the new lower-rate regime.

The Finance Ministry highlighted that the rate cuts effective from September 22, along with the abolition of compensation cess on key categories like automobiles and carbonated beverages, have had an immediate bearing on revenues. September also saw the postponement of supplies in anticipation of lower rates, muting collections for the period.

Consumption

See Full Page