New Delhi, July 1: On the eighth anniversary of the Goods and Services Tax (GST) roll out, Prime Minister Narendra Modi on Tuesday said the indirect tax regime stands out as a landmark reform that has reshaped India’s economic landscape.
He said on X, “By reducing the compliance burden, it has greatly improved the ease of doing business, particularly for small and medium enterprises. GST has also served as a powerful engine for economic growth, while fostering true cooperative federalism by making states equal partners in this journey to integrate India’s market.”
The GST, which was implemented from July 1, 2017, has unified 17 taxes and 13 cesses, creating a seamless national market by simplifying compliance and digitising tax systems. It has also expanded the taxpayer base and strengthened cooperative federalism, the government has said.
The gross GST collections in the first year of operation (nine months) were Rs 7.40 lakh crore. Over the years, it has witnessed exponential growth, it said.
In 2024-25, gross GST collections hit a record Rs 22.08 lakh crore, marking a year-on-year growth of 9.4 per cent. This rise reflects the growing formalisation of the economy and improved tax compliance.
Annual GST revenues nearly tripled, rising from Rs 7 lakh crore in FY 2017-18 to Rs 22 lakh crore in FY 2024-25, the finance ministry has said. (PTI)
