GST Revenue for September Improves, Surpasses Rs 94,000 Crore

The GST collections for August improved from the previous month even as rates were lowered on some items.

The goods and services tax (GST) collections for August improved from the previous month even as rates were lowered on some items.

(Photo: Quint Hindi)

The goods and services tax (GST) collections for August improved from the previous month even as rates were lowered on some items.

The revenue from GST paid for August stood at Rs 94,442 crore compared to Rs 93,960 crore in July, according to a statement by the Ministry of Finance. Collections in July had declined partly due to the impact of the rate cut on 88 items.

The government had cited the delay in sale of items on which GST rate was lowered on 21 July – and became effective from 27 July – for the dip. It, however, said the actual impact of the rate cut would be known only from collections for August.

Abhishek Jain, indirect tax partner at EY India, said the various anti-evasion measures implemented by the government might have led to an increase in GST collections despite the recent rate cut.

“The impact of anti-evasion measures will entail businesses to refrain from any tax evasion activities.”

Abhishek Jain, indirect tax partner at EY India

GST collections (in Rs crore)

Note: From July-Sept 2017, numbers were updated on 31 October 2017; from November 2017 to February 2018, numbers were released on 24/25/26th of the following month; and from March 2018 till August 2018, numbers were released on the last day of the following month.

Total GSTR-3B returns filed for August as on 30 September remained unchanged.

GST returns filed

The statement by the ministry detailed the tax collected under various heads:

• Central GST stood at Rs 15,318 crore, post integrated GST settlement at Rs 30,574 crore.
• State GST at Rs 21,061 crore, post integrated GST settlement at Rs 35,015 crore.
• Integrated GST at Rs 50,070 crore.
• Compensation cess stood at Rs 7,993 crore.

IGST collections are settled between states and the central government based on the end-consumption.

(The story was first published on BloombergQuint and has been republished with permission)