GST collection rises 28% to Rs 1.43 lakh crore in August

Goods and Services Tax (GST) collections increased 28% to Rs 1.43lakh crore in August, the Finance Ministry said on Thursday.

In August, GST collection surpassed Rs 1.4 lakh crore for the sixth consecutive month.

“Better reporting coupled with economic recovery has been having a positive impact on the GST revenues on a consistent basis,” the ministry said in a statement.

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The gross GST revenue collected in August 2022 stood at Rs 1,43,612 crore of which Central GST is Rs 24,710 crore, State GST is Rs 30,951 crore, Integrated GST is Rs 77,782 crore (including Rs 42,067 crore collected on import of goods) and cess is Rs 10,168 crore (including Rs 1,018 crore collected on import of goods), the ministry said.

The revenues for the month of August 2022, registered a 28% increase over the GST revenues of Rs 1,12,020 crore collected in August 2021.

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GST revenue stood at 1,48,995 crore in July, the second-largest monthly collection since the tax regime’s debut in 2017 and the highest in three months. The GST bag in July was 28% higher year on year, owing to a 48% increase in revenue from imports of goods, while revenue from domestic activities, including imports of services, was 22% higher.

While retail inflation in India fell to a five-month low of 6.71% in July, the Finance Ministry underlined many high-frequency indicators to emphasise that India’s growth-inflation nexus was stable.

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“The growth in GST revenue till August 2022 over the same period last year is 33%, continuing to display 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 the GST revenues on a consistent basis,” the government said in a statement.