Monthly items and Services Tax (GST) collections crossed Rs 1.4 trillion mark for the fourth time in a row, in June 2022, reflecting a brand new development.
The gross GST income collected in June 2022 rose 56% to about Rs 1.45 trillion from Rs 0.93 trillion within the year-ago month, highlighting the impact of plugging of tax evasion and a sustained shift of enterprise to the formal sector of the financial system.
“The collection in June 2022 is not only the second highest but also has broken the trend of being low collection month as observed in the past. Total number of e-way bills generated in the month of May 2022 was 73 million, which is 2% less than 74 million e-way bills generated in April 2022,” the finance ministry stated in a press release.
The common month-to-month gross GST assortment for the primary quarter of FY23 has been Rs 1.51 trillion towards the typical month-to-month assortment of Rs 1.1 trillion within the first quarter of the final monetary yr, displaying a rise of 37%. Coupled with financial restoration, anti-evasion actions, particularly motion towards faux billers have been contributing to the improved GST. The gross cess assortment on this month is the very best since introduction of GST, the ministry stated.
“The consistent pattern of GST collections indicates that the Indian economy continues to show strong momentum. However, the said increase partly can be attributed to inflation and increased GST administration by the government,” stated Saurabh Agarwal, Tax Partner, EY India.
The common month-to-month GST collections could possibly be Rs 1.4-1.5 trillion in FY23, producing substantial further income for the Centre and states within the yr than budgeted.
The Budget FY23 has factored in common GST collections of Rs 1.2 trillion a month.The common month-to-month GST mop-up was Rs 1.23 trillion in FY22.
The gross GST income collected in June 2022 is Rs 1,44,616 crore of which CGST is Rs 25,306 crore, SGST is Rs 32,406 crore, IGST is Rs 75,887 crore (together with Rs 40,102 crore collected on import of products) and cess is Rs 11,018 crore (together with Rs 1,197 crore collected on import of products).
Source: www.financialexpress.com”