GST collections rise 10.3% in July
New Delhi: Revenue collection from Goods and Services Tax (GST) jumped by 10.3 per cent year-on-year to Rs 1.82 lakh crore in July, the third highest monthly mop-up, led by a robust increase in taxes collected from imports, as per the official data released on Thursday.
Sequentially, the GST revenue collection in July was 4.75 per cent higher over June’s figure of Rs 1.73 lakh crore. GST collections from imports surged by 14.2 per cent in July. In the month of June it recorded a sluggish growth of 2.4 per cent.
“It is interesting to observe that the growth in GST revenues from imports is more than that from domestic supplies. These collections are based on supply transactions during June 2024, which is typically a slow offtake month before the onset of the festive season,” said MS Mani, Partner, Deloitte India.
There was a wide divergence in the growth of GST collections compared with the same month last year across states even among the large manufacturing and consuming states. While states such as Maharashtra, Gujarat and Karnataka recorded a year-on-year growth in the range of 11-13%, in the states like Telangana, Punjab, West Bengal and Uttar Pradesh it was in the range of 2-3 per cent.
Gross GST revenues for the first four months of the current financial year stood at Rs 7.39 lakh crore, which is 10.2 per cent higher when compared with the corresponding period of the previous year. Net revenue, after adjusting refunds, increased by 11 per cent to Rs 6.56 lakh crore.
Pratik Jain, Partner, PwC India, said the GST revenue collection is broadly in line with the budget estimates. “This should enable the Government and GST council to start working towards rate rationalisation, as indicated by the Finance Minister in her budget speech last month,” Jain said.