GST Collection September 2026: ₹2.04 Lakh Crore, Up 14.7% YoY

If you read our August 2026 GST collection report, you already know collections were trending up. India’s GST collection September 2026 reached ₹2,03,521 crore, rising 14.7% year on year from the comparable ₹1,77,365 crore collected in September 2025. The increase came from both domestic transactions and imports, although import related GST revenue grew much faster. 

For Indian business owners, the headline number is only part of the picture. Net GST revenue grew even faster at 18.1%, refunds fell slightly, and cumulative collections for the first six months of FY 2026-27 crossed ₹12.46 lakh crore.

We have gone beyond the headline numbers to analyse the data from a business perspective, so that business owners and CAs can understand what these trends may mean for compliance, cash flow, refunds and GST reconciliation. The state level numbers also show that growth remains uneven across India.

GST Collection September 2026 at a Glance

From our understanding at Munim, the September figures show continued growth in GST revenue, with imports making a particularly strong contribution. We also observed that net revenue improved because refund outflows were lower than in September last year.

What Drove GST Collection Growth in September 2026?

Munim’s analysis says three numbers explain most of the increase: 10.1% growth in domestic GST, 25.9% growth in import GST and a 3% decline in refunds.

1. Import GST Grew Much Faster Than Domestic GST

Gross GST revenue from imports rose from ₹52,031 crore in September 2025 to ₹65,525 crore in September 2026, an increase of 25.9%. Domestic revenue increased from ₹1,25,334 crore to ₹1,37,996 crore, growing 10.1%. 

The difference becomes clearer when the additional revenue is broken down.

Total gross GST increased by ₹26,156 crore over the comparable September 2025 base.

Of this increase:

• Import related GST contributed approximately ₹13,494 crore
• Domestic GST contributed approximately ₹12,662 crore
• Imports therefore contributed about 51.6% of the overall increase

That is significant because imports represented only around 32% of September’s total gross GST revenue.

However, a rise in import GST should not automatically be interpreted as an equivalent rise in the quantity of goods imported. Tax revenue can also be affected by import values, product mix, exchange rates, applicable tax rates and the timing of customs clearances.

For import dependent manufacturers, distributors and retailers, the trend is more useful as a reminder to monitor IGST paid on imports and the related input tax credit carefully.

2. Domestic GST Revenue Still Recorded Double Digit Growth

Domestic GST revenue increased 10.1% year on year to ₹1,37,996 crore.

This is important because domestic GST broadly reflects taxable economic activity within the country, including consumption, business transactions and compliance related collections.

A 10.1% increase does not mean every sector or business grew at that pace. State figures show large differences. Some major states recorded double digit increases, while others reported declines.

So if you’re a business owner, don’t compare your own sales growth to the national GST collection number. Treat it as a general sign of how the economy is doing, not a target for your own business.

3. Refunds Fell, Helping Net Revenue Grow Faster

September provides a very different refund picture from August.

Total refunds stood at ₹27,001 crore, down 3% from ₹27,848 crore a year earlier. Domestic refunds fell 13.5% to ₹13,504 crore, while export GST refunds processed through ICEGATE increased 10.2% to ₹13,497 crore. 

This matters because gross collection measures tax received before refunds, while net revenue shows what remains after eligible refunds are paid.

Why Did Net GST Revenue Grow Faster Than Gross Revenue?

Net GST revenue grew faster because gross collections increased while total refunds declined.

Gross GST revenue increased 14.7%, but net revenue rose 18.1% to ₹1,76,520 crore from ₹1,49,517 crore in September 2025. 

The calculation is straightforward:

Gross GST revenue − refunds = net GST revenue

For September 2026:

₹2,03,521 crore − ₹27,001 crore = ₹1,76,520 crore

Refunds represented approximately 13.3% of gross collection in September 2026. On the comparable September 2025 numbers, refunds represented about 15.7%.

The lower refund share therefore gave net revenue an additional lift.

This is the opposite of what happened in August 2026, when refunds rose sharply and net revenue grew much more slowly than gross collections.

For businesses, especially exporters and businesses with accumulated input tax credit, refund data is not merely a government revenue statistic. Refund timing can affect working capital directly.

How Did September Compare With Previous Months of FY 2026-27?

September recorded the third month of FY 2026-27 in which gross GST collection crossed ₹2 lakh crore, after April and July.

August came extremely close at ₹1,99,853 crore, missing the ₹2 lakh crore level by only ₹147 crore.

September collection increased by ₹3,668 crore, or about 1.8%, compared with August.

How Do We Interpret This Data at Munim?

We read the September GST numbers as a good sign, transactions, imports and tax reporting are all holding strong.

But for your business, the real question isn’t whether national GST collections are going up. It’s whether your own sales, ITC, tax liability and return data all match correctly.

That’s why we don’t just look at GST collection trends on their own. We pair them with the things that actually matter day to day: reconciliation, accurate returns and fixing mismatches quickly.

Which States Recorded the Highest GST Collections in September 2026?

Maharashtra remained India’s largest domestic GST contributor in September 2026, followed by Karnataka and Gujarat.

State wise figures exclude GST collected on imported goods, so they should not be added directly to import revenue when analysing state performance. 

Highest GST Collections Among Major States

Maharashtra added more than ₹4,000 crore compared with September last year and continued to lead by a wide margin.

Karnataka and Gujarat also recorded healthy double digit increases. Uttar Pradesh and Telangana each grew 18%, faster than the national domestic GST growth rate.

Which States Recorded the Fastest GST Growth?

Among the states highlighted in the September data:

• Manipur: 145% growth, from ₹37 crore to ₹92 crore
• Assam: 88% growth, from ₹1,287 crore to ₹2,415 crore
• Arunachal Pradesh: 46% growth, from ₹93 crore to ₹136 crore
• Uttar Pradesh: 18% growth
• Telangana: 18% growth
• Gujarat: 17% growth

Assam stands out because the increase is meaningful both in percentage and absolute terms. Its domestic collection increased by more than ₹1,100 crore.

Manipur recorded the highest percentage growth among the states shown, but the increase came from a much smaller base. Percentage growth in smaller states should therefore be interpreted differently from growth in large revenue contributors such as Maharashtra, Gujarat or Uttar Pradesh.

Which States Reported Lower GST Collections?

Growth was not uniform.

Tamil Nadu’s domestic collection declined 5% to ₹10,188 crore. Uttarakhand recorded a 23% fall to ₹1,277 crore, while Jammu and Kashmir declined 29% to ₹487 crore. Himachal Pradesh fell 21%.

A one month decline does not automatically indicate a weakening state economy. Collections may vary because of industry concentration, refunds, tax payment timing and unusually high or low bases in the previous year.

The useful signal comes from watching the trend across several months.

What Businesses Should Do Next

The September 2026 GST data shows steady revenue growth, stronger import collections and healthy net GST receipts. For businesses and CAs, the real takeaway isn’t the national number, it’s making sure your own GST data is accurate, reconciled and ready for filing.

If you’re already using Munim GST, this is a good time to review your returns, reconcile your ITC and check for mismatches, all from one place.

New to Munim GST? Try it here and make your next filing cycle easier to stay on top of.

Frequently Asked Questions

How much GST came from domestic transactions in September?

Gross domestic GST revenue was ₹1,37,996 crore, up 10.1% year on year. Domestic transactions accounted for roughly two thirds of the total gross GST collection.

How much GST was collected from imports?

GST revenue from imports was ₹65,525 crore, up 25.9% from ₹52,031 crore in September 2025. Import related collections grew substantially faster than domestic GST revenue. 

Why did net GST revenue grow faster than gross GST revenue?

Net revenue grew faster because refunds declined while gross collection increased. Refunds fell 3% to ₹27,001 crore, helping net revenue grow 18.1% compared with gross growth of 14.7%.

What was the total GST collection for April to September 2026?

Gross GST revenue during the first half of FY 2026-27 reached ₹12,46,278 crore, up 11.6% year on year. Net revenue for the same period was approximately ₹10.66 lakh crore.

Sources:

Business Today

Financial Express