GST Collections Improve In August
The government’s goods and services tax collections for August improved to Rs 94,442 crore.
The goods and services tax 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 with Rs 93,960 crore in July, according to a statement of 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 July 21—and became effective from July 27—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.”
- Note: From July-Sept 2017, numbers were updated on Oct 31, 2017; from Nov 2017 to Feb 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 Sept. 30 remined unchanged.
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.