GST Collections May 2026 Rise 3.2% to ₹1.94 Lakh Crore

India’s GST collection for May 2026 has continued its upward trend, with gross revenue rising 3.2% year on year to ₹1,94,184 crore, according to data released by the Finance Ministry on June 1, 2026. This compares to ₹1,88,172 crore collected in May 2025. While the pace of growth is more moderate than the record-setting April 2026 figure, the numbers are steady and reflect a consistent revenue base as India moves deeper into FY 2026-27.

The headline number tells one story. But what is truly interesting is what sits beneath it. Import-side GST jumped nearly 20%. Domestic collections went down slightly. Refund processing continued smoothly and on time. Together, these factors give a clear view of the current state of India’s tax system.

GST Collection in May 2026: Key Highlights and Revenue Data

May 2026 gross GST collection: ₹1,94,184 crore — up 3.2% YoY from ₹1,88,172 crore in May 2025.

• Net GST collection after refunds: ₹1,66,904 crore — up 3.3% YoY from ₹1,61,585 crore
• Cumulative gross GST for April to May FY 2026-27: ₹4,36,887 crore — up 6.2% over the same period last year (₹4,11,437 crore)
• Total refunds processed: ₹27,281 crore — up 2.6% YoY
• Domestic refunds: ₹17,030 crore (portion of total refunds)

Two signals worth watching closely:

Import GST surges again. Gross import revenue jumped 19.1% year on year to ₹59,654 crore in May 2026, up from ₹50,070 crore in May 2025. Net customs revenue from GST also rose 19.7%, touching ₹49,403 crore against ₹41,276 crore in May 2025. This sustained surge in import-side collections is now a consistent pattern across the first two months of FY 2026-27 and speaks to strong inbound trade activity.

Domestic collections take a step back. Gross domestic revenue fell 2.6% year on year to ₹1,34,530 crore, compared to ₹1,38,102 crore in May 2025. This is an important development and needs some background, which is explained in a separate section below.

Breaking Down the Numbers: What Is Inside ₹1,94,184 Crore?

The total gross GST collection of ₹1,94,184 crore for May 2026 comprises domestic collections across CGST, SGST, and IGST, plus import-related revenue.

Understanding each component:

CGST (Central GST) is the portion that goes to the central government. At ₹37,397 crore for May 2026, it reflects the tax collected on the intra-state supply of goods and services.

SGST (State GST) at ₹45,143 crore represents what state governments collect from intra-state transactions. This is money that stays with the states.

IGST (Integrated GST) covers interstate transactions and imports. The domestic IGST of ₹51,990 crore is later apportioned between the Centre and states based on consumption. Import IGST of ₹59,654 crore is collected at ports and customs offices, and it shows the level of India’s import and trade activity.

On refunds: The ₹27,281 crore in refunds for May 2026 includes ₹17,030 crore in domestic refunds, which typically represent pending Input Tax Credit claims settled by the government. The increase in refunds is mostly neutral. It shows that the government is still processing pending ITC claims on time, which helps businesses and exporters manage their working capital better.

Why Did Domestic GST Collections Dip in May 2026?

This is the question most businesses and tax professionals will ask when they first look at the May 2026 data. Gross domestic revenue fell 2.6% year on year. That is a reversal from the growth trend seen in the previous months.

A few factors are worth considering here.

Base effect from May 2025. May 2025 had recorded domestic gross revenue of ₹1,38,102 crore, which was a relatively firm number. Any month-on-month comparison against a high base naturally moderates the growth figure. This is a mathematical reality, not necessarily a sign of economic stress.

April filing patterns. May collections primarily reflect GSTR-3B filings for April transactions. April 2026 itself was a record month for GST, but it is important to note that collection timing and payment timing are not always perfectly aligned. Some refunds and credits flowing through in May may have reduced the net domestic inflow.

Seasonal consumption patterns. May, in many sectors, is a transitional month. The summer demand cycle in consumer goods peaks in April. Certain sectors such as construction and infrastructure see slower activity in peak heat conditions. These consumption-side patterns do influence domestic GST output.

The key point is this: one month of weaker domestic collections does not signal a structural issue. What matters more is the overall trend over a full quarter. With April 2026 reaching a record high and May staying above ₹1.9 lakh crore in total, the FY 2026–27 revenue trend still looks broadly strong and healthy.

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State-wise GST Collection in May 2026: Key Movers

State-level performance in May 2026 was mixed, with the larger industrial states broadly holding their ground while some smaller states and Union Territories saw sharp movements in either direction.

Maharashtra retained its position as the largest contributor to domestic GST collections, generating ₹29,141 crore. This is nearly flat compared to ₹29,236 crore in May 2025, a marginal decline of less than 0.3%. For India’s largest economic state, flat is not necessarily bad — it reflects a high and stable base rather than any structural softness.

Karnataka posted a marginal 1% growth, with collections reaching ₹13,130 crore against ₹12,970 crore in May 2025. Bengaluru’s technology and startup ecosystem, along with Karnataka’s expanding pharmaceutical and manufacturing base, continues to provide a reliable GST revenue floor.

Gujarat also grew 1% to ₹11,206 crore, consistent with the state’s position as a key industrial and trade hub. Gujarat’s port activity and its heavy reliance on manufacturing sectors make it a bellwether for both domestic and import-linked GST performance.

Dadra and Nagar Haveli and Daman and Diu posted the highest percentage growth among reported regions at 38%, with collections rising to ₹483 crore. As a manufacturing-heavy Union Territory, its surge reflects growing industrial output in the region.

Lakshadweep saw collections fall sharply by 82% to just ₹1 crore, and Sikkim recorded a 53% decline, falling to ₹200 crore. 

May 2026 in Context: How Does It Stack Up?

To understand the May 2026 numbers properly, it helps to look at the trend over recent months.

A few things stand out here. May 2026’s collection of ₹1,94,184 crore is higher than May 2025’s ₹1,88,172 crore. That is the most fundamental benchmark, and it holds. The year-on-year growth is positive, even if it has moderated from April’s 8.7% surge.

The month-on-month drop from April to May is expected and entirely seasonal. April, as the first month of the new financial year, consistently sees elevated filings because businesses reconcile accounts, file pending returns, and pay up dues accumulated in March. May normalises from that spike. This pattern has repeated itself in every year since GST was introduced in 2017.

What is more useful is the overall cumulative data. The combined gross GST revenue for April and May FY 2026-27 stands at ₹4,36,887 crore, up a healthy 6.2% over the ₹4,11,437 crore collected in the same two-month period last year. That is the real scoreboard for how FY 2026-27 has started — and it looks solid.

Conclusion

GST collection in May 2026 maintained its positive momentum, closing the month at ₹1,94,184 crore — a 3.2% year-on-year increase over May 2025. Net of refunds, the government received ₹1,66,904 crore, up 3.3%. The cumulative April to May total for FY 2026-27 stands at ₹4,36,887 crore, already 6.2% ahead of the same period last year.

For businesses, the monthly GST data is more than just a macro indicator. It reflects the overall health of compliance, the pace of refund settlements, and the direction of government revenue. Staying on top of these numbers helps CAs, tax consultants, and business owners anticipate policy shifts, plan cash flows around refund timelines, and understand the broader regulatory environment they operate in.

Frequently Asked Questions (FAQs)

What is the total GST collection in May 2026?

The gross GST collection in May 2026 stood at ₹1,94,184 crore, up 3.2% year on year from ₹1,88,172 crore in May 2025. After deducting refunds of ₹27,281 crore, the net GST collection was ₹1,66,904 crore.

What is the cumulative GST collection for FY 2026-27 so far?

The cumulative gross GST revenue for April to May FY 2026-27 has reached ₹4,36,887 crore, representing a 6.2% growth over ₹4,11,437 crore collected during the same period in FY 2025-26.

Which state contributed the most to GST collection in May 2026?

Maharashtra was the largest contributor with ₹29,141 crore in domestic GST collection, though this was marginally lower than the ₹29,236 crore collected in May 2025. Karnataka and Gujarat followed with ₹13,130 crore and ₹11,206 crore respectively.

How much were GST refunds in May 2026?

Total refunds distributed in May 2026 amounted to ₹27,281 crore, up 2.6% year on year. Domestic refunds accounted for ₹17,030 crore of this total. Timely refund processing is important for businesses managing Input Tax Credit and working capital.

What were the component-wise GST collections in May 2026?

CGST collected was ₹37,397 crore, SGST was ₹45,143 crore, domestic IGST stood at ₹51,990 crore, and import IGST was ₹59,654 crore gross. Together, these make up the gross total of ₹1,94,184 crore.

Is ₹1,94,184 crore a good GST collection figure for May?

Yes, it is a positive figure. It marks a year-on-year increase and shows that the GST revenue base is holding steady in a seasonally softer month. 

Data Source: ANI News Report dated June 1, 2026 | Finance Ministry of India

About the author

Mehul Jagwani

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Mehul is a seasoned content writer with a passion for simplifying complex accounting and GST topics. With a keen interest in entrepreneurship and business management, he specializes in creating informative and engaging content for themunim.com. His goal is to help businesses understand and implement accounting and GST software solutions effectively. When he's not crafting content, Mehul enjoys exploring new places and spending time with his Golden Retriever.