IMPACT OF GST ON REVENUE COLLECTION IN INDIA

Abstract

      The Goods and Services Tax (GST), implemented in India with effect from 1 July 2017, is regarded as one of the most significant indirect tax reforms in the country’s fiscal history. By subsuming multiple central and state-level indirect taxes into a unified, destination-based tax system, GST aimed to eliminate the cascading effect of taxes, simplify the tax structure, enhance transparency, widen the tax base, and improve revenue mobilisation. The introduction of a technology-driven compliance framework through the Goods and Services Tax Network (GSTN) has fundamentally transformed tax administration in India. This research paper examines the impact of GST on revenue collection in India by analysing the structure of GST, pre- and post-GST revenue trends, and the role of GST in improving tax compliance. The study is based on descriptive and analytical research using secondary data supported by primary survey findings. The results indicate that GST has positively contributed to revenue collection by improving compliance efficiency, transparency, and tax base expansion, despite facing initial operational challenges.