Tag: GST collection

  • GST Revenue Growth Rate Slows In Sep, Collections At Rs 1.73 Lakh Crore | Economy News

    New Delhi: Goods and services tax (GST) revenue growth rate declined to 6.5 per cent in September at Rs 1.73 lakh crore as the rise in collections from domestic transactions as well as imports slowed.

    However, with the festival season ahead, collections are expected to be better in the coming months, tax experts said. According to government data released on Tuesday, GST revenues in September last year was Rs 1.63 lakh crore, while the In August 2024, the mop-up was Rs 1.75 lakh crore.

    Gross domestic revenue grew 5.9 per cent to about Rs 1.27 lakh crore. Revenue from import of goods was up 8 per cent to Rs 45,390 crore. Refunds worth Rs 20,458 crore were issued during the month, an increase of 31 per cent over the year-ago period.

    After adjusting refunds, the net GST revenue in September stood at Rs 1.53 lakh crore, 3.9 per cent higher than the year-ago period. GST collections during the April-September period of the current fiscal year grew 9.5 per cent to over Rs 10.87 lakh crore.

    PwC India Partner Pratik Jain said while the year-to-date GST revenues (September 2024) grew over 9 per cent, the monthly growth is perhaps less than expected.

    “This may need a closer look by the GST Council, particularly in the wake of rate rationalization exercise. However, with festive seasons coming, the collection for next couple of months might be better,” Jain said.

    Deloitte India Partner MS Mani said the GST revenues for the coming months will be keenly watched as they are also a proxy for the economic growth and can be correlated with the GDP numbers.

    However, the significant increase in GST refunds, especially IGST Export refunds, depicts the efforts of tax authorities in expediting refunds and the policymakers in simplifying the refund process.

    “The tepid single-digit growth in GST revenues in many of the large states should, hopefully, be corrected in the coming months,” Mani added.

    EY Tax Partner Saurabh Agarwal said the significant increase in GST refunds for exports suggests a substantial rise in exports from India. Adding further, the overall increase in GST refunds demonstrates the government’s commitment to timely release funds to support the working capital of exporters and industries facing an inverted duty structure.

  • Odisha posts all-time extreme GST assortment in April 2023

    Express News Service

    BHUBANESWAR: Odisha posted an all-time extreme gross GST assortment of Rs 5,035.74 crore in April. The assortment ultimate month was spherical three per cent bigger than the similar month ultimate yr, which had clocked the sooner highest tax tally of Rs 4,910.23 crore.

    GST revenues from house transactions, along with import of suppliers, carried out all through March grew at a sharper tempo year-on-year in April, accelerating the collections.

    The improvement was additional inside the earlier two months – 15 per cent in March and 10 per cent in February, presumably on account of a rise in house demand.

    Official sources talked about the gathering of GST earnings to be retained by the state which included the state GST and IGST settlement in April is recorded at Rs 2,359.17 crore. This is 40.43 per cent bigger than the corresponding assortment of Rs 1,680 crore recorded in April 2022.

    The complete assortment of VAT from petrol and liquor was Rs 264.42 crore ultimate month as in the direction of Rs 232.92 crore collected in April ultimate yr. The improvement payment stood at 13.52 per cent.

    ALSO READ | GST mop-up at all-time extreme of Rs 1.87 lakh crore in April 2023

    The assortment beneath all acts by the Commissionerate of CT and GST (VAT, GST, profession tax, arrears of subsumed taxes) witnessed a doc improvement of 36.7 per cent. The tax earnings assortment was Rs 2,661.92 crore in the direction of Rs 1,947.21 crore inside the corresponding month ultimate yr.

    Tax officers attributed the growth typically earnings collections to year-end compliances by taxpayers for 2022-23 along with rising monetary train and the push for GST audits. Per capita GST assortment inside the state was spherical Rs 8,133 in 2022-23.

    GST commissioner Sanjay Kumar Singh talked about the growth inside the assortment was on account of buoyancy primarily inside the service sector and partly inside the shopping for and promoting sector. “As many as 20.23 lakhs of waybills have been generated in April 2023 vis-à-vis 17.57 lakh in the month last year, recording a growth of 15.12 per cent,” he talked about.

    However, going by the gathering traits, Odisha had the underside improvement of three per cent among the many many large states inside the nation as there was an uptick of 28 per cent in Madhya Pradesh, 23 per cent in Karnataka, 21 per cent in Maharashtra and 19 per cent in Tamil Nadu and Jharkhand.

    The improvement in tax earnings assortment was 14 per cent in neighbouring West Bengal, 18 per cent in Chhattisgarh, 13 per cent in Telangana, 11 per cent in Bihar and 6 per cent in Andhra Pradesh in April.

    BHUBANESWAR: Odisha posted an all-time extreme gross GST assortment of Rs 5,035.74 crore in April. The assortment ultimate month was spherical three per cent bigger than the similar month ultimate yr, which had clocked the sooner highest tax tally of Rs 4,910.23 crore.

    GST revenues from house transactions, along with import of suppliers, carried out all through March grew at a sharper tempo year-on-year in April, accelerating the collections.

    The improvement was additional inside the earlier two months – 15 per cent in March and 10 per cent in February, presumably on account of a rise in house demand.googletag.cmd.push(carry out() googletag.present(‘div-gpt-ad-8052921-2’); );

    Official sources talked about the gathering of GST earnings to be retained by the state which included the state GST and IGST settlement in April is recorded at Rs 2,359.17 crore. This is 40.43 per cent bigger than the corresponding assortment of Rs 1,680 crore recorded in April 2022.

    The complete assortment of VAT from petrol and liquor was Rs 264.42 crore ultimate month as in the direction of Rs 232.92 crore collected in April ultimate yr. The improvement payment stood at 13.52 per cent.

    ALSO READ | GST mop-up at all-time extreme of Rs 1.87 lakh crore in April 2023

    The assortment beneath all acts by the Commissionerate of CT and GST (VAT, GST, profession tax, arrears of subsumed taxes) witnessed a doc improvement of 36.7 per cent. The tax earnings assortment was Rs 2,661.92 crore in the direction of Rs 1,947.21 crore inside the corresponding month ultimate yr.

    Tax officers attributed the growth typically earnings collections to year-end compliances by taxpayers for 2022-23 along with rising monetary train and the push for GST audits. Per capita GST assortment inside the state was spherical Rs 8,133 in 2022-23.

    GST commissioner Sanjay Kumar Singh talked about the growth inside the assortment was on account of buoyancy primarily inside the service sector and partly inside the shopping for and promoting sector. “As many as 20.23 lakhs of waybills have been generated in April 2023 vis-à-vis 17.57 lakh in the month last year, recording a growth of 15.12 per cent,” he talked about.

    However, going by the gathering traits, Odisha had the underside improvement of three per cent among the many many large states inside the nation as there was an uptick of 28 per cent in Madhya Pradesh, 23 per cent in Karnataka, 21 per cent in Maharashtra and 19 per cent in Tamil Nadu and Jharkhand.

    The improvement in tax earnings assortment was 14 per cent in neighbouring West Bengal, 18 per cent in Chhattisgarh, 13 per cent in Telangana, 11 per cent in Bihar and 6 per cent in Andhra Pradesh in April.

  • Odisha posts all-time extreme GST assortment in April 2023

    Express News Service

    BHUBANESWAR: Odisha posted an all-time extreme gross GST assortment of Rs 5,035.74 crore in April. The assortment remaining month was spherical three per cent bigger than the an identical month remaining yr, which had clocked the sooner highest tax tally of Rs 4,910.23 crore.

    GST revenues from residence transactions, along with import of suppliers, carried out all through March grew at a sharper tempo year-on-year in April, accelerating the collections.

    The improvement was further throughout the earlier two months – 15 per cent in March and 10 per cent in February, presumably on account of a rise in residence demand.

    Official sources talked about the gathering of GST revenue to be retained by the state which included the state GST and IGST settlement in April is recorded at Rs 2,359.17 crore. This is 40.43 per cent bigger than the corresponding assortment of Rs 1,680 crore recorded in April 2022.

    The entire assortment of VAT from petrol and liquor was Rs 264.42 crore remaining month as in direction of Rs 232.92 crore collected in April remaining yr. The improvement charge stood at 13.52 per cent.

    ALSO READ | GST mop-up at all-time extreme of Rs 1.87 lakh crore in April 2023

    The assortment beneath all acts by the Commissionerate of CT and GST (VAT, GST, profession tax, arrears of subsumed taxes) witnessed a doc improvement of 36.7 per cent. The tax revenue assortment was Rs 2,661.92 crore in direction of Rs 1,947.21 crore throughout the corresponding month remaining yr.

    Tax officers attributed the growth normally revenue collections to year-end compliances by taxpayers for 2022-23 along with rising monetary train and the push for GST audits. Per capita GST assortment throughout the state was spherical Rs 8,133 in 2022-23.

    GST commissioner Sanjay Kumar Singh talked about the growth throughout the assortment was on account of buoyancy primarily throughout the service sector and partly throughout the shopping for and promoting sector. “As many as 20.23 lakhs of waybills have been generated in April 2023 vis-à-vis 17.57 lakh in the month last year, recording a growth of 15.12 per cent,” he talked about.

    However, going by the gathering traits, Odisha had the underside improvement of three per cent among the many many huge states throughout the nation as there was an uptick of 28 per cent in Madhya Pradesh, 23 per cent in Karnataka, 21 per cent in Maharashtra and 19 per cent in Tamil Nadu and Jharkhand.

    The improvement in tax revenue assortment was 14 per cent in neighbouring West Bengal, 18 per cent in Chhattisgarh, 13 per cent in Telangana, 11 per cent in Bihar and 6 per cent in Andhra Pradesh in April.

    BHUBANESWAR: Odisha posted an all-time extreme gross GST assortment of Rs 5,035.74 crore in April. The assortment remaining month was spherical three per cent bigger than the an identical month remaining yr, which had clocked the sooner highest tax tally of Rs 4,910.23 crore.

    GST revenues from residence transactions, along with import of suppliers, carried out all through March grew at a sharper tempo year-on-year in April, accelerating the collections.

    The improvement was further throughout the earlier two months – 15 per cent in March and 10 per cent in February, presumably on account of a rise in residence demand.googletag.cmd.push(carry out() googletag.present(‘div-gpt-ad-8052921-2’); );

    Official sources talked about the gathering of GST revenue to be retained by the state which included the state GST and IGST settlement in April is recorded at Rs 2,359.17 crore. This is 40.43 per cent bigger than the corresponding assortment of Rs 1,680 crore recorded in April 2022.

    The entire assortment of VAT from petrol and liquor was Rs 264.42 crore remaining month as in direction of Rs 232.92 crore collected in April remaining yr. The improvement charge stood at 13.52 per cent.

    ALSO READ | GST mop-up at all-time extreme of Rs 1.87 lakh crore in April 2023

    The assortment beneath all acts by the Commissionerate of CT and GST (VAT, GST, profession tax, arrears of subsumed taxes) witnessed a doc improvement of 36.7 per cent. The tax revenue assortment was Rs 2,661.92 crore in direction of Rs 1,947.21 crore throughout the corresponding month remaining yr.

    Tax officers attributed the growth normally revenue collections to year-end compliances by taxpayers for 2022-23 along with rising monetary train and the push for GST audits. Per capita GST assortment throughout the state was spherical Rs 8,133 in 2022-23.

    GST commissioner Sanjay Kumar Singh talked about the growth throughout the assortment was on account of buoyancy primarily throughout the service sector and partly throughout the shopping for and promoting sector. “As many as 20.23 lakhs of waybills have been generated in April 2023 vis-à-vis 17.57 lakh in the month last year, recording a growth of 15.12 per cent,” he talked about.

    However, going by the gathering traits, Odisha had the underside improvement of three per cent among the many many huge states throughout the nation as there was an uptick of 28 per cent in Madhya Pradesh, 23 per cent in Karnataka, 21 per cent in Maharashtra and 19 per cent in Tamil Nadu and Jharkhand.

    The improvement in tax revenue assortment was 14 per cent in neighbouring West Bengal, 18 per cent in Chhattisgarh, 13 per cent in Telangana, 11 per cent in Bihar and 6 per cent in Andhra Pradesh in April.

  • GST assortment at Rs 1.52 lakh crore in October, second highest ever

    Gross Goods and Services Tax (GST) collections rose 16.6 per cent year-on-year to Rs 1,51,718 crore for October (for gross sales in September), the second highest stage for the reason that rollout of the oblique tax regime in July 2017, based on knowledge launched by the Finance Ministry on Tuesday.

    Although home transactions recorded the second highest progress after April 2022, the share of collections from imports continued to fall to 25 per cent, from 28 per cent in September and 30 per cent in August.

    A excessive inflation price, a rise in retail costs of many consumption items, the buoyant festive season demand, alongside actions taken to make sure compliance, have all contributed to the rise in GST collections. The tempo of year-on-year progress in GST collections, nevertheless, moderated to 16.6 per cent in October from over 25 per cent every within the final three months.

    The month-to-month GST revenues have crossed the Rs 1.4 lakh crore mark for the final eight months. The Finance Ministry mentioned in its assertion that September noticed era of 8.3 crore e-way payments (digital invoice for motion of products throughout the nation), which is considerably increased than 7.7 crore e-way payments generated in August.

    “The revenue for October 2022 is second highest monthly collection, next only to the collection in April 2022, and it is for the second time the gross GST collection has crossed Rs 1.50 lakh crore mark. October also saw the second highest collection from domestic transactions, next only to April 2022. This is the ninth month and for eight months in a row now, that the monthly GST revenues have been more than the Rs 1.4 lakh crore mark,” it mentioned.

    GST collections in April, accounting for year-end gross sales in March, had stood at Rs 1,67,540 crore.

    ExplainedBehind the rise

    The persistently excessive price of inflation, a rise in retail costs of many consumption items, buoyant festive season demand, alongside actions taken to make sure compliance, have all contributed to the rise in GST collections.

    Experts mentioned GST revenues have picked up with the onset of the festive season. At least 12 states/ UTs recorded the next than 20 per cent progress in GST collections of their areas, whereas seven states/ UTs recorded a decline of their GST collections.

    “This month’s collections mark the second highest revenue collection ever, and can be attributed to increased spending on account of the festive season starting. With the festive season continuing, the GST collections can be expected to go up further. This coupled with the revamped focus of the government on tax collections can lead to further increase in collections in the coming months,” mentioned Abhishek Jain, Partner Indirect Tax, KPMG in India.

    “GST collections in October 2022 have exceeded by 16% compared to the collections in October 2021. It proves that GST has now settled, proper systems are in place and compliance level has increased substantially. October was also a month of festivals and holidays wherein the people have splurged on real estate, vehicles, holidays and other necessities,” mentioned Parag Mehta, Partner, Indirect Tax, N.A. Shah Associates.

    Experts mentioned that regardless of the moderation in price of progress, GST collections are anticipated to overshoot the budgetary targets set for this fiscal. Revenue progress is essential for fiscal arithmetic this 12 months as the federal government tackles extra spending wants on account of fertiliser, meals and gas subsidies.

    “The dip in the YoY growth in GST collections in October 2022 was expected given the normalising base, and may continue in the next few months. We continue to expect the CGST collections to exceed the FY2023 BE by Rs 1.3-1.4 trillion… with the festive season in October 2022, the generation of GST e-way bills is expected to have remained high, which should bolster the GST collections in the month of November,” ICRA’s Chief Economist Aditi Nayar mentioned.

    Out of gross GST income of Rs 1,51,718 crore, CGST – the tax levied on intra-state provides of products and providers by the Centre – is Rs 26,039 crore, and SGST – the tax levied on intra-state provides of products and providers by the states – is Rs 33,396 crore, the ministry mentioned.

    IGST — tax levied on all inter-state provides of products and providers — is Rs 81,778 crore (together with Rs 37,297 crore collected on import of products) and cess Rs 10,505 crore (together with Rs 825 crore collected on import of products), it mentioned.

    The authorities has settled Rs 37,626 crore to CGST and Rs 32,883 crore to SGST from IGST. The complete income of Centre and the states in October after common settlement is Rs 74,665 crore for CGST and Rs 77,279 crore for SGST, the ministry mentioned.

  • ‘Recovery, better compliance’: Jul GST mop-up 2nd finest ever

    Gross Goods and Services Tax (GST) collections surged by 28 per cent year-on-year (y-o-y) to Rs 1,48,995 crore throughout July (for gross sales in June), the second highest stage for the reason that July 2017 rollout of the oblique tax regime, information launched by the Finance Ministry on Monday confirmed.

    Buoyancy in consumption patterns triggered by financial restoration, a excessive inflation fee and elevated enforcement motion in opposition to anti-evasion actions, are seen as having contributed to the rise in GST collections.

    Prior to this, GST collections had recorded the highest-ever stage of Rs 1.68 lakh crore in April 2022 for year-end gross sales in March.

    July is the sixth time that month-to-month GST collections have crossed the Rs 1.40 lakh crore mark since its inception, and the fifth month in a row since March this 12 months. In July 2021, GST collections stood at Rs 1,16,393 crore. The first 4 months of 2022-23 have seen a median month-to-month gross GST assortment of Rs 1.50 lakh crore, in opposition to Rs 1.12 lakh crore in the identical interval final fiscal.

    The Finance Ministry, in its assertion, mentioned the 28 per cent improve in GST income shows a “very high buoyancy”. “This is a clear impact of various measures taken by the Council in the past to ensure better compliance. Better reporting coupled with economic recovery has been having a positive impact on GST revenues on a consistent basis.”

    Last month, Finance Minister Nirmala Sitharaman had mentioned that Rs 1.40 lakh crore is now the “rough bottom line” for month-to-month GST income collections. “…the trend that was being talked about, we are now reversing that and showing that the GST revenues remain above Rs 1.40 lakh crore. So, Rs 1.40 lakh crore is the rough bottom line, we are not going below that. We will remain above that,” she had mentioned.

    Experts mentioned that motion in opposition to tax evaders, together with steps being taken by state authorities, has resulted in higher compliance and helped push the expansion in GST collections, together with financial restoration and better inflation fee. It will assist increase the federal government’s GST collections past the budgeted figures.

    “GST collections reported a healthy trend, rising for the second month in a row, with the 28 per cent y-o-y rise being a function of the economic recovery, better compliance as well as elevated inflation. With the headline GST collection in July 2022 exceeding our monthly average forecast of Rs 1.45 trillion for this year, we foresee an upside of Rs 1.15 trillion relative to the FY 2023 for CGST collections,” mentioned Icra’s chief economist Aditi Nayar.

    After the tip of the compensation regime for states in June, the upper GST income progress is predicted to ease income issues for some states. However, states with a heavy dependence on compensation might discover FY’23 to be a difficult 12 months, with some even resorting to increased enforcement actions to shore up income, analysts mentioned.

    Under GST, as per the Goods and Services Tax (Compensation to States) Act, 2017, the states have been assured compensation on the compounded fee of 14 per cent from the bottom 12 months 2015-16 for losses arising because of implementation of the taxation regime, for 5 years since its rollout. This got here to an finish on June 30. The GST Council assembly held in June didn’t take any determination to increase the compensation mechanism regardless of a minimum of a dozen states elevating the demand.

    More enforcement associated measures are being taken by the state authorities within the wake of the tip of the compensation regime.

    “It is understood that revenue targets have been set for the state officers also, which they would now try to achieve. Again, it is important to note that even if a dealer is registered with the Centre, the state can still investigate it on a specific issue and vice-versa,” Vivek Jalan, accomplice, Tax Connect Advisory, mentioned.
    “It’s essential to notice that now states would now not be compensated by the Centre for a shortfall in revenues and therefore now we have already began seeing the SGST departments of states too getting aggressive when it comes to assortment. In current huge investigations, sure states are disputing the classification of ‘fly ash bricks and blocks’ by attempting to differentiate them to non-fly ash materials primarily based bricks and blocks. Industry-wise motion has, of late, been an space of curiosity to the income authorities.

    Therefore, it’s crucial for trade captains to maintain an in depth watch on developments of their trade,” Jalan mentioned.

    Abhishek Jain, accomplice, Indirect Tax, KPMG in India, mentioned, “These consistent high collections indicate recovery from the pandemic and can also be attributed to inflation and tight checks and balances implemented by the government. Further, with rationalisations being implemented subsequent to the recent GST Council meet, these numbers may go up in the coming months.”

    Except Daman & Diu, Bihar and Tripura, which recorded a contraction, all different states/ UTs recorded a progress in GST, with Maharashtra, Karnataka, Gujarat, Tamil Nadu and Uttarakhand main amongst states.

    Incidentally, the whole variety of e-way payments generated in June was 7.45 crore; it was 7.36 crore in May. Revenue from import of products was 48 per cent increased in July and the income from home transactions (together with import of providers) was 22 per cent as in comparison with final 12 months.

    Of the gross GST income of Rs 1,48,995 crore, CGST — the tax levied on intra-state provides of products and providers by the Centre – was Rs 25,751 crore; and SGST — the tax levied on intra-state provides of products and providers by the states — was Rs 32,807 crore, the Ministry mentioned. IGST — tax levied on all inter-state provides of products and providers – was Rs 79,518 crore (together with Rs 41,420 crore collected on import of products), and cess was Rs 10,920 crore (together with Rs 995 crore collected on import of products), it mentioned.

    The authorities has settled Rs 32,365 crore to CGST and Rs 26,774 crore to SGST from IGST. The whole income of the Centre and the states in July after common settlement is Rs 58,116 crore for CGST and Rs 59,581 crore for SGST, the ministry mentioned.

  • GST assortment up 28%, second highest ever

    Gross Goods and Services Tax (GST) collections surged by 28% year-on-year to Rs 1,48,995 crore throughout July (for gross sales in June), the second highest stage for the reason that July 2017 rollout of the oblique tax regime, knowledge launched by the Finance Ministry on Monday confirmed. Buoyancy in consumption patterns triggered by financial restoration, a excessive inflation fee and elevated enforcement motion towards anti-evasion actions, are seen as having contributed to the rise in GST collections.

    Prior to this, GST collections had recorded the highest-ever stage of Rs 1.68 lakh crore in April 2022 for year-end gross sales in March. This is the sixth time that month-to-month GST collections have crossed the Rs 1.40 lakh crore mark since its inception, and the fifth month in a row since March this 12 months. In July 2021, GST collections stood at Rs 1,16,393 crore.

    The first 4 months of 2022-23 have seen a mean month-to-month gross GST assortment of Rs 1.50 lakh crore, towards Rs 1.12 lakh crore in the identical interval final fiscal.

    The Finance Ministry, in its assertion, mentioned the 28% enhance in GST income shows a “very high buoyancy”. “This is a clear impact of various measures taken by the Council in the past to ensure better compliance. Better reporting coupled with economic recovery has been having a positive impact on GST revenues on a consistent basis,” it mentioned.

    Last month, Finance Minister Nirmala Sitharaman had mentioned that Rs 1.40 lakh crore is now the “rough bottom line” for month-to-month GST income collections. “…the trend that was being talked about, we are now reversing that and showing that the GST revenues remain above Rs 1.40 lakh crore. So, Rs 1.40 lakh crore is the rough bottom line, we are not going below that. We will remain above that,” she had mentioned.

    Experts mentioned that motion towards tax evaders, together with steps being taken by state authorities, has resulted in higher compliance and helped push the expansion in GST collections, together with financial restoration and better inflation fee. It will assist enhance the federal government’s GST collections past the budgeted figures.

    “GST collections reported a healthy trend, rising for the second month in a row, with the 28% YoY rise being a function of the economic recovery, better compliance as well as elevated inflation. With the headline GST collection in July 2022 exceeding our monthly average forecast of Rs 1.45 trillion for this year, we foresee an upside of Rs 1.15 trillion relative to the FY 2023 for CGST collections,” ICRA’s chief economist Aditi Nayar mentioned.

    After the tip of the compensation regime for states in June, the upper GST income progress is predicted to ease income considerations for some states. However, states with a heavy dependence on compensation could discover FY’23 to be a difficult 12 months, with some even resorting to increased enforcement actions to shore up income, analysts mentioned.

    Under GST, as per the Goods and Services Tax (Compensation to States) Act, 2017, the states have been assured compensation on the compounded fee of 14% from the bottom 12 months 2015-16 for losses arising attributable to implementation of the taxation regime, for 5 years since its rollout. This got here to an finish on June 30. The GST Council assembly held in June didn’t take any resolution to increase the compensation mechanism regardless of not less than a dozen states elevating the demand. More enforcement associated measures are being taken by the state authorities within the wake of the tip of the compensation regime.

    “It is understood that revenue targets have been set for the state officers also, which they would now try to achieve. Again, it is important to note that even if a dealer is registered with the Centre, the state can still investigate it on a specific issue and vice-versa,” Vivek Jalan, companion, Tax Connect Advisory, mentioned.

    “It’s important to note that now states would no longer be compensated by the Centre for a shortfall in revenues and hence we have already started seeing the SGST departments of states too getting aggressive in terms of collection. In recent massive investigations, certain states are disputing the classification of ‘fly ash bricks and blocks’ by trying to distinguish them to non-fly ash material based bricks and blocks. Industry-wise action has, of late, been an area of interest to the revenue authorities. Therefore, it is imperative for industry captains to keep a close watch on developments in their industry,” Jalan mentioned.

    Abhishek Jain, companion, Indirect Tax, KPMG in India, mentioned, “These consistent high collections indicate recovery from the pandemic and can also be attributed to inflation and tight checks and balances implemented by the government. Further, with rationalisations being implemented subsequent to the recent GST Council meet, these numbers may go up in the coming months.”

    Except Daman & Diu, Bihar and Tripura, which recorded a contraction, all different states/ UTs recorded a progress in GST, with Maharashtra, Karnataka, Gujarat, Tamil Nadu and Uttarakhand main amongst states.

    Incidentally, the overall variety of e-way payments generated in June was 7.45 crore; it was 7.36 crore in May. Revenue from import of products was 48% increased in July and the income from home transactions (together with import of companies) was 22% as in comparison with final 12 months.

    Of the gross GST income of Rs 1,48,995 crore, CGST — the tax levied on intra-state provides of products and companies by the Centre – was Rs 25,751 crore; and SGST — the tax levied on intra-state provides of products and companies by the states — was Rs 32,807 crore, the Ministry mentioned. IGST — tax levied on all inter-state provides of products and companies – was Rs 79,518 crore (together with Rs 41,420 crore collected on import of products), and cess was Rs 10,920 crore (together with Rs 995 crore collected on import of products), it mentioned.

    The authorities has settled Rs 32,365 crore to CGST and Rs 26,774 crore to SGST from IGST. The complete income of the Centre and the states in July after common settlement is Rs 58,116 crore for CGST and Rs 59,581 crore for SGST, the ministry mentioned.

  • GST collections surge to Rs 1.44 lakh cr in June, 2nd highest since rollout

    GROSS GOODS and Services Tax (GST) collections rose 55.8% year-on-year to Rs 1,44,616 crore for June (for gross sales in May), the second highest degree for the reason that July 2017 rollout of the oblique tax regime, in line with knowledge launched by the Finance Ministry. Economic restoration, anti-evasion actions, particularly motion in opposition to pretend billers, together with the impression of inflation have contributed to the rise in GST.

    Before this, GST collections had recorded the highest-ever degree of Rs 1.68 lakh crore in April for year-end gross sales in March. This is the fifth time that month-to-month collections have crossed Rs 1.40 lakh crore since inception of GST, and the fourth month in a row since March 2022. GST collections in June 2021 stood at Rs 92,800 crore.

    Speaking on the GST Day celebrations on Friday, Union Finance Minister Nirmala Sitharaman mentioned that inside 5 years of its rollout, GST was exhibiting its potential. “The gross GST revenue collection for the month of June is Rs 1,44,616 crore, 56% rise from the same month last year. So the trend that was being talked about,we are now reversing that and showing that GST revenues remain above Rs 1.40 lakh crore. So, Rs 1.40 lakh crore is the rough bottom line, we are not going below that. We will remain above that,” she mentioned.

    She additionally mentioned that the Central Board of Indirect Taxes and Customs (CBIC) is open to recommendations from trade, and the tax arbitrage that existed between states earlier than GST rollout has been eliminated. “GST has removed discretion to a large extent, there is no way for rent seeking…. But I would still say we should be performing better in terms of removing even one little iota of discretion. If it is there, we should just make sure that the system is so transparent, that the whisper of allegation of discretion somewhere should be completely removed,” she mentioned.

    The larger GST income development is predicted to ease income considerations for some states going forward, however states with a heavy dependence on compensation might discover FY23 to be a difficult 12 months, specialists mentioned.

    As per the GST (Compensation to States) Act, 2017, the states have been assured compensation on the compounded fee of 14%, from 2015-16 as the bottom 12 months, for losses attributable to implementation of the regime, for 5 years of its rollout. This got here to an finish on June 30. The GST Council assembly held earlier this week didn’t take any choice on extending the compensation mechanism, regardless of calls for from a minimum of a dozen states.

    June additionally noticed the highest-ever assortment of compensation cess, at Rs 11,018 crore, for the reason that implementation of GST. “The collection in June 2022 is not only the second highest but has also broken the trend of being a low collection month as observed in the past…coupled with economic recovery, anti-evasion activities, especially action against fake billers, have been contributing to the enhanced GST. The gross cess collection in this month is the highest since the introduction of GST,” mentioned the Finance Ministry assertion.

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    The whole variety of e-way payments generated in May was 7.3 crore; it was 7.4 crore in April.

    The common month-to-month gross GST assortment for the primary quarter of 2022-23 was Rs 1.51 lakh crore, in opposition to the common month-to-month assortment of Rs 1.10 lakh crore in the identical interval final fiscal. In June, income from import of products was 55% larger and income from home transactions (together with import of providers) was 56% larger, as in comparison with final 12 months.

    Barring Daman & Diu and Centre jurisdiction, which recorded a contraction, all different states/ UTs recorded double-digit development in GST generated, with Tamil Nadu, Maharashtra, Haryana and Uttarakhand main.

    Experts mentioned motion in opposition to tax evaders, together with efforts in audits and analytics, will assist enhance the GST collections past the budgeted figures.

    “This implies a substantive upside of around Rs 1.2 trillion to the Government of India relative to its FY2023 Budget Estimates for CGST (Central GST) of Rs 6.6 trillion. The sharp YoY growth of 56% in headline GST revenues in June 2022 benefits from the economic recovery, and has also been boosted by the low base of the second wave of Covid-19 and the transmission of elevated commodity prices into output inflation. If GST collections grow at the envisioned pace of around 17% in FY2023, then many states may be able to withstand the end of the GST compensation period. However, some states with a relatively higher dependence on GST compensation within their revenue sources, may find FY2023 to be a particularly challenging year,” mentioned ICRA’s Chief Economist Aditi Nayar.

    Abhishek Jain, Partner Indirect Tax, KPMG in India, mentioned, “These consistent high collections indicate recovery from the pandemic hit and can also be attributed to inflation and tight checks and balances implemented by the government. The collections should give some comfort to both the Centre and states on the revenue front.”

  • Rs 1.68 lakh crore in April, GST assortment soars to all-time excessive

    Registering the very best stage of collections since its rollout in July 2017, gross Goods and Services Tax (GST) collections rose to Rs 1.68 lakh crore in April, for gross sales in March, in keeping with information launched by the Union Finance Ministry on Sunday.

    This marks a 20 per cent improve from the April 2021 stage on the again of improved compliance, enforcement motion towards tax evaders and pick-up in financial exercise.

    During April 2022, 1.06 crore of the month-to-month abstract GSTR-3B (self-declared) returns have been filed, of which 97 lakh pertained to March, as towards 92 lakh filed throughout April 2021. Also, 1.05 crore statements of invoices issued in GSTR-1 (outward provides returns) have been filed, the Ministry mentioned.

    “This shows clear improvement in the compliance behaviour, which has been a result of various measures taken by the tax administration to nudge taxpayers to file returns timely, to make compliance easier and smoother and strict enforcement action taken against errant taxpayers identified based on data analytics and artificial intelligence,” the Ministry mentioned.

    Growth in GST collections exhibits clear enchancment in compliance behaviour – a results of varied measures taken by tax administration to nudge taxpayers to file returns well timed, to creating compliance simpler & smoother & strict enforcement motion taken towards errant taxpayers. (4/5) pic.twitter.com/gEf2xtzj9C

    — NSitharamanWorkplace (@nsitharamanoffc) May 1, 2022

    Union Finance Minister Nirmala Sitharaman highlighted the position of states within the highest-ever GST collections. “Sincerely recognise and appreciate the efforts made by each and every state in improving #GST revenue collection. India’s economic recovery is sure to be on a sustained path due to all our efforts,” she posted on Twitter.

    Gross GST assortment in April, which incorporates income of Centre and states, is at an all-time excessive and Rs 25,000 crore greater than the earlier excessive of Rs 1.42 lakh crore collected in March. In April final yr, GST collections stood at Rs 1.40 lakh crore.

    Experts mentioned the rise is also attributed to year-end exercise, increased inflation price, enter tax credit score being allowed solely on well timed compliance by distributors and excessive worth of imports.

    Revenues from import of products have been 30 per cent increased and from home transactions (together with import of providers) 17 per cent greater than in the identical month final yr.

    “While the GST collections in respect of March have always been high, the record collections of Rs 1.68 lakh crore reported are on account of multiple favourable factors, including the recent changes on permitting input tax credits only upon timely compliance by vendors,” M S Mani, Partner, Deloitte India, mentioned.

    “The impact of the continuing focus on ensuring timely compliance by all GST registrants by restricting the input tax credits of the buyers together with enhanced analytics to detect evasion has also contributed significantly to the all-time high collections reported,” he mentioned.

    The whole variety of e-way payments generated in March 2022 was 7.7 crore, which is 13 per cent increased than 6.8 crore in February 2022, reflecting the restoration of enterprise exercise at a quicker tempo, the Ministry mentioned.

    In April 2022, 84.7 per cent of registered companies paid taxes by submitting GSTR-3B, in comparison with 78.3 per cent within the year-ago interval. Also, 83.11 per cent of GST registered companies have filed provide or gross sales return GSTR-1, in comparison with 73.9 per cent a yr in the past.

    The highest ever tax assortment in a single day additionally occurred on April 20, and Rs 57,847 crore was paid as GST by means of 9.58 lakh transactions.

    There was divergence seen amongst states for the GST collections raised, ranging between a contraction of 33 per cent in Manipur and a couple of per cent in Bihar to progress of 90 per cent in Arunachal Pradesh, 33 per cent in Uttarakhand, 32 per cent in Nagaland, 28 per cent in Odisha and 25 per cent in Maharashtra.

    These state-wise figures don’t embrace GST on import of products and pertain to the GST revenues collected within the states, which later will get distributed based mostly on the place of consumption within the transactions.

    Out of gross GST income of Rs 1,67,540 crore, CGST — the tax levied on intra-state provides of products and providers by the Centre — is Rs 33,159 crore and SGST — the tax levied on intra-state provides of products and providers by the states — is Rs 41,793 crore, the Ministry mentioned.

    IGST — tax levied on all inter-state provides of products and providers — is Rs 81,939 crore (together with Rs 36,705 crore collected on import of products) and cess Rs 10,649 crore (together with Rs 857 crore collected on import of products), it mentioned.

    The Government has settled Rs 33,423 crore to CGST and Rs 26,962 crore to SGST from IGST. The whole income of Centre and the states in April after common settlement is Rs 66,582 crore for CGST and Rs 68,755 crore for SGST, the Ministry mentioned.

  • Rs 1.68 lakh crore in April, GST assortment soars to all-time excessive

    REGISTERING THE highest stage of collections since its rollout in July 2017, gross Goods and Services Tax (GST) collections rose to Rs 1.68 lakh crore in April, for gross sales in March, based on information launched by the Union Finance Ministry on Sunday.

    This marks a 20 per cent improve from the April 2021 stage on the again of improved compliance, enforcement motion in opposition to tax evaders and pick-up in financial exercise.

    During April 2022, 1.06 crore of the month-to-month abstract GSTR-3B (self-declared) returns have been filed, of which 97 lakh pertained to March, as in opposition to 92 lakh filed throughout April 2021. Also, 1.05 crore statements of invoices issued in GSTR-1 (outward provides returns) have been filed, the Ministry mentioned.

    “This shows clear improvement in the compliance behaviour, which has been a result of various measures taken by the tax administration to nudge taxpayers to file returns timely, to make compliance easier and smoother and strict enforcement action taken against errant taxpayers identified based on data analytics and artificial intelligence,” the Ministry mentioned.

    Union Finance Minister Nirmala Sitharaman highlighted the function of states within the highest-ever GST collections. “Sincerely recognise and appreciate the efforts made by each and every state in improving #GST revenue collection. India’s economic recovery is sure to be on a sustained path due to all our efforts,” she posted on Twitter.

    Gross GST assortment in April, which incorporates income of Centre and states, is at an all-time excessive and Rs 25,000 crore greater than the earlier excessive of Rs 1.42 lakh crore collected in March. In April final 12 months, GST collections stood at Rs 1.40 lakh crore.

    Experts mentioned the rise is also attributed to year-end exercise, greater inflation fee, enter tax credit score being allowed solely on well timed compliance by distributors and excessive worth of imports.

    Revenues from import of products have been 30 per cent greater and from home transactions (together with import of companies) 17 per cent greater than in the identical month final 12 months.

    “While the GST collections in respect of March have always been high, the record collections of Rs 1.68 lakh crore reported are on account of multiple favourable factors, including the recent changes on permitting input tax credits only upon timely compliance by vendors,” M S Mani, Partner, Deloitte India, mentioned.

    “The impact of the continuing focus on ensuring timely compliance by all GST registrants by restricting the input tax credits of the buyers together with enhanced analytics to detect evasion has also contributed significantly to the all-time high collections reported,” he mentioned.

    The whole variety of e-way payments generated in March 2022 was 7.7 crore, which is 13 per cent greater than 6.8 crore in February 2022, reflecting the restoration of enterprise exercise at a quicker tempo, the Ministry mentioned.

    In April 2022, 84.7 per cent of registered companies paid taxes by submitting GSTR-3B, in comparison with 78.3 per cent within the year-ago interval. Also, 83.11 per cent of GST registered companies have filed provide or gross sales return GSTR-1, in comparison with 73.9 per cent a 12 months in the past.

    The highest ever tax assortment in a single day additionally occurred on April 20, and Rs 57,847 crore was paid as GST via 9.58 lakh transactions.

    There was divergence seen amongst states for the GST collections raised, ranging between a contraction of 33 per cent in Manipur and a couple of per cent in Bihar to progress of 90 per cent in Arunachal Pradesh, 33 per cent in Uttarakhand, 32 per cent in Nagaland, 28 per cent in Odisha and 25 per cent in Maharashtra.

    These state-wise figures don’t embrace GST on import of products and pertain to the GST revenues collected within the states, which later will get distributed based mostly on the place of consumption within the transactions.

    Out of gross GST income of Rs 1,67,540 crore, CGST — the tax levied on intra-state provides of products and companies by the Centre — is Rs 33,159 crore and SGST — the tax levied on intra-state provides of products and companies by the states — is Rs 41,793 crore, the Ministry mentioned.

    IGST — tax levied on all inter-state provides of products and companies — is Rs 81,939 crore (together with Rs 36,705 crore collected on import of products) and cess Rs 10,649 crore (together with Rs 857 crore collected on import of products), it mentioned.

    The Government has settled Rs 33,423 crore to CGST and Rs 26,962 crore to SGST from IGST. The whole income of Centre and the states in April after common settlement is Rs 66,582 crore for CGST and Rs 68,755 crore for SGST, the Ministry mentioned.

  • GST assortment hits new report in Odisha

    By Express News Service

    BHUBANESWAR: Keeping tempo with the expansion pattern, gross GST assortment in Odisha hit a brand new report with 49 per cent (computer) progress in 2021-22, largely pushed by mining and manufacturing sectors. 

    The State collected Rs 44,334.67 crore final fiscal in opposition to Rs 29,852.76 crore in 2020-21. The assortment for 2019-20 was Rs 29,686.32 crore. 

    The State GST (SGST) assortment additionally recorded a progress of 54 computer as Rs 12,743.01 crore was collected in 2021-22 as in comparison with Rs 8,292.15 crore within the earlier fiscal and Rs 8,722 crore in 2019-20. The gross GST assortment in March was Rs 4,124.66 crore as in opposition to Rs 3,285.29 crore in March final yr registering a progress of 26 computer which is the very best amongst all main states within the nation.

    With a progress of 42 computer final month the SGST assortment was Rs 1,351.25 crore as in comparison with Rs 954.62 crore throughout March 2021. The assortment was additionally the very best ever assortment of SGST by the State in a month for the reason that inception of GST.

    The rise in GST revenues mirrored the rebound within the financial actions and e-waybill generations within the State and the expansion momentum is more likely to proceed within the coming months with tightened enforcement. 

    The State had collected Rs 1,109.85 crore CGST, Rs 1,003.47 crore IGST and Rs 660.09 crore cess in March. The complete assortment of VAT from petrol and liquor was Rs 1,687.72 crore in March as in opposition to Rs 1,559.51 crore in the identical month final yr. 

    Of the overall VAT income, the gathering was Rs 1,257.04 crore from petroleum merchandise and Rs 430.67 crore from liquor final month. The assortment from VAT for the whole monetary yr was Rs 9,954.91 crore, together with Rs 2,093.70 crore from liquor, in opposition to Rs 7,756.74 crore collected within the earlier fiscal.