The Goods and Services Tax (GST) revenue collection for the month of April has topped Rs 1 lakh crore, in a first since the implementation of the indirect tax in July last year.
The Goods and Services Tax (GST) revenue collection for the month of April has topped Rs 1 lakh crore, in a first since the implementation of the indirect tax in July last year. The highest GST collection of Rs 1,03,458 crore for the month of April, however, was on the back of year-end accruals and cannot be taken as a “trend”.
“During the financial year 2017-18, total GST revenue collections between August 2017 and March 2018 has been Rs 7.19 lakh crore,” Finance Ministry said in a statement. The SGST collection during the same period including the settlement of IGST has been Rs 2.91 lakh crore. The buoyancy in the tax revenue of GST reflects the upswing in the economy and better compliance, it said.
Out of 19.31 lakh composition dealers, 11.47 lakh have filed their quarterly return (GSTR 4) and have paid a total tax of Rs 579 crore, which is included in Rs 1.03 lakh crore of total GST collection. “It is usually noticed that in the last month of the Financial Year, people also try to pay arrears of some of the previous months also and, therefore, this month’s revenue cannot be taken as a trend for the future,” the Finance Ministry added.
However, the GST collection for April does set a significant milestone. “Crossing 1 trillion is a significant milestone in the GST journey and it is now expected that the revenues would stabilise in that range considering the series of anti-evasion measures such as E-way bill,” MS Mani, Deloitte India told FE Online.
All eyes now will be on the GST Council meeting scheduled on May 4, in which GST returns simplification is expected to be the top priority.