Goods and Services Tax (GST) collections for December 2024 reached ₹1.77 lakh crore, marking a 7.3% increase compared to YOY.

 

India's Goods and Services Tax (GST) collections for December 2024 stood at ₹1.77 lakh crore, maintaining the streak of exceeding ₹1.7 lakh crore for the tenth consecutive month, according to data released on January 1.

Key Highlights

• Year-on-Year Growth: GST collections grew by 7.3% compared to December 2023, when revenues were ₹1.65 lakh crore.
• Quarterly Comparison: Average collections in the October-December period were ₹1.82 lakh crore, higher than the ₹1.77 lakh crore average of the previous quarter.
• Growth Trends: While the December growth rate marked a slowdown in pace over the last three months, quarterly revenues were 8.3% higher than the corresponding quarter of the previous year.

Economic Implications

• Performance Indicator: The rise in GST revenues reflects improved economic activity, suggesting stronger performance than the previous quarter.
• GDP Growth Context: The Indian economy saw a slowdown in Q2 FY25, with growth dipping to 5.4%, a seven-quarter low, compared to 6.7% in the April-June period.
• RBI Projections: The Reserve Bank of India expects GDP growth to rebound to 6.6% in FY25.