New Delhi: The Goods and Services Tax (GST) collection for the month of June rose 4.52 per cent to Rs 99,939 crore from the year ago period, but fell below Rs 1 lakh crore monthly revenue mop-up for the first time this fiscal.
The collection is also lower compared to May, when the gross revenue had touched Rs 1,00,289 crore mark. The GST collection had reached all time high of Rs 1,13,865 crore in April, the first month of FY20.
“The marginal dip in collections reinforces the point there is very little headroom at present for any further rate reductions. The lower than expected collections would lead more analysis of the data available with the GSTN in order to detect and plug any leakages,” said M.S. Mani, Partner, Deloitte India.
While the trend of slight fluctuation in GST mop up is normal, a lower tax collection certainly adds to the pressure on government finances.
The total number of GSTR 3B Returns filed for the month of May up to June 30, 2019 is 74.38 lakh. The GSTR-3B Form records the summary of outward supplies, input tax credit (ITC) claimed and net tax payable.
A higher GST collection boosts the overall indirect tax collection of the government and gives more elbow room to spend on social infrastructure and public welfare schemes. It also eases Centre’s burden of compensation to states on account of loss of revenue due to new tax regime.
The monthly average of GST revenue during 2018-19 was Rs 98,114 crore, up 9.2 per cent compared to monthly average in financial year 2017-18. The revenue in June 2019 is 1.86 higher than the monthly average of GST revenue in FY19.
These figures indicate the new regime has now largely stabilised. The collection has been robust in spite of several rate cuts across various items. (IANS)
