ENA Economy 2025-01-02 16:20:18 <p><span style="font-size:14px"><strong>New Delhi, Jan 2 (KNN)</strong> The Finance Ministry reported on Wednesday that India's gross Goods and Services Tax (GST) collections for December 2024 reached Rs 1.77 lakh crore, marking a 7.3 percent increase compared to the previous year.</span></p> <p><span style="font-size:14px">This achievement maintains the streak of collections remaining above Rs 1.7 lakh crore for the tenth consecutive month, demonstrating sustained revenue performance.</span></p> <p><span style="font-size:14px">Despite this milestone, December witnessed the slowest pace of year-on-year growth in three months.</span></p> <p><span style="font-size:14px">The cumulative GST collections for the April-December period totalled Rs 16.33 lakh crore, showing a 9.1 percent annual growth. This falls short of the finance ministry's earlier projection of 11 percent growth, potentially signalling a moderation in economic activity.</span></p> <p><span style="font-size:14px">The collection data reveals a notable disparity between domestic and import-based revenue sources.</span></p> <p><span style="font-size:14px">Domestic GST collections for the April-December period reached Rs 12.37 lakh crore, growing at 10.1 percent, while import-related collections amounted to Rs 3.96 lakh crore, increasing by 6 percent.</span></p> <p><span style="font-size:14px">December specifically showed domestic collections growth of 8.4 percent, while import-related collections grew by just 3.9 percent.</span></p> <p><span style="font-size:14px">The slower-than-anticipated growth has prompted discussions about potential policy interventions in the upcoming 2025-26 Budget.</span></p> <p><span style="font-size:14px">PwC India partner Pratik Jain suggests that GST rate rationalisation, currently under consideration by the GST council, could be one approach to stimulate consumption in the economy.</span></p> <p><span style="font-size:14px">A significant increase in refund disbursements was observed in December, rising by 45.3 percent year-on-year to Rs 22,490 crore.</span></p> <p><span style="font-size:14px">This led to net collections of Rs 1.54 lakh crore, representing a modest 3.3 percent growth.</span></p> <p><span style="font-size:14px">The April-December period saw net GST collections reach Rs 14.49 lakh crore, growing at 8.6 percent, while refunds totalled Rs 1.89 lakh crore, showing a 13.5 percent increase compared to the previous year.</span></p> <p><span style="font-size:14px"><em><strong>(KNN Bureau)</strong></em></span></p> 40486 https://knnindia.co.in/news/newsdetails/economy/indias-gst-revenue-reaches-rs-177-lakh-crore-in-december 2025-01-02 16:20:18 knnindia.co.in