Kamal Ghorui
Goods and Services Tax (GST) revenues continued to show steady expansion in February, with collections reaching Rs 1.83 lakh crore, reflecting resilient economic activity and improved compliance as the financial year nears completion, according to official data released by government.The latest figures take total gross GST collections for FY26 (till February 28) to Rs 20.27 lakh crore, marking an 8.3% year-on-year increase.Refunds during February stood at Rs 22,595 crore, up 10.2% YoY, resulting in net GST revenue of Rs 1.61 lakh crore for the month. Net cess revenue declined to Rs 5,063 crore compared with Rs 13,481 crore in February last year.Gross Domestic Revenue rose 5.3% to Rs 1.36 lakh crore, while Gross Import Revenue increased 17.2% to Rs 47,837 crore, indicating stronger tax collections linked to trade activity.MS Mani, Partner at Deloitte India, said the data reflects improving consumption trends supported by broader macroeconomic strength. “The consumption increase that has led to an 8% plus increase in the monthly and annual collections is also supported by the strong GDP data and other macroeconomic indicators published recently,” Mani said.He added that while collections were earlier approaching the Rs 2 trillion monthly mark, rate rationalisation has moderated the pace and “it will take some more time for the Rs 2 trillion mark to emerge.”State-wise, Maharashtra contributed the highest pre-settlement GST revenue at Rs 10,286 crore, followed by Karnataka and Gujarat.States showing positive post-settlement SGST growth included Himachal Pradesh, Chandigarh, Uttarakhand, Haryana, Delhi, Rajasthan, Uttar Pradesh, Bihar, Maharashtra, Karnataka, Tamil Nadu, Sikkim and Arunachal Pradesh, among others. Negative growth was recorded in West Bengal, Jharkhand, Odisha, Chhattisgarh, Madhya Pradesh, Tripura and Jammu and Kashmir.Commenting on regional trends, Mani said, “The negative growth reported by major states such as Tamil Nadu ( -6%) , MP (-8%) , Rajasthan (-1%) , and the single digit growth below the national average of 8% reported by WB (1%) Haryana(2%) , UP(5%) , Maharashtra (6%) would be a matter of concern for the states and the policy makers.”Manoj Mishra, Partner and Tax Controversy Management Leader at Grant Thornton Bharat, said the collections signal stable fiscal momentum. “February’s gross GST collections at INR 1.83 lakh crore, marking an 8.1% year-on-year increase, reaffirm the steady fiscal momentum as we approach the close of FY26,” he said, adding that revenues are holding firm even on a high base.He noted that domestic revenues grew moderately while import-linked IGST showed stronger expansion, reflecting trade activity and improved compliance. “Equally important is the 10.2% rise in refunds, with net revenues still posting a healthy 7.9% increase. This indicates a maturing GST architecture that is balancing revenue strength with timely liquidity flows to businesses,” Mishra said.Abhishek Jain, Partner and Indirect Tax Head at KPMG, said, “An 8.1% rise in monthly GST collections post GST 2.0 rate rationalisation signals steady economic momentum and improved compliance. The growth reflects a combination of resilient consumption supported by GST rate rationalisation, formalisation of businesses, and better enforcement through technology-driven monitoring.”
