GST Collections Near Rs 2 Lakh Crore in August
India recorded strong GST collections of Rs 1,99,853 crore in August, supported by higher import tax receipts despite increased refunds during the month.
India’s Goods and Services Tax collections remained strong in August, with the government receiving gross revenue of Rs 1,99,853 crore. The figure is 14.8 percent higher than the Rs 1,74,116 crore collected during the same month last year.
A major part of the increase came from taxes collected on imports. Gross GST revenue from imports jumped 29 percent to Rs 62,604 crore. Domestic transactions also recorded growth, with collections rising 9.3 percent to Rs 1,37,249 crore.
The August figure came close to the Rs 2 lakh crore mark, although it was lower than the Rs 2.11 lakh crore collected in July. Despite the month on month decline, the year on year growth points to continued strength in overall tax collections.
Refunds, however, increased sharply during the month. The government issued refunds worth Rs 31,795 crore, which was 67.9 percent higher than the amount recorded in August last year.
After accounting for refunds, net GST revenue stood at Rs 1,68,057 crore. That represents an 8.3 percent increase over the corresponding net collection a year earlier.
The breakup of net collections shows that customs GST revenue grew 22.3 percent to Rs 49,299 crore. Net GST from domestic transactions increased by only 3.4 percent to Rs 1,18,759 crore. The relatively slower growth was linked to the higher refunds issued against domestic transactions.
The latest numbers come ahead of the next GST Council meeting scheduled to be held in New Delhi on September 12. An officials level meeting is also expected on September 11, a day before the main meeting.
The upcoming GST Council discussions are likely to draw attention as the government reviews various tax related matters. The latest collection figures will also provide an important backdrop to those deliberations.
