GST Collections Slow Down And Touch Rs 1.75 Lakh Crore In August, Official Data Reveals

Domestically, revenue grew 9.2 per cent to touch Rs 1.25 lakh crore, while import revenue increased at a faster pace at 12.1 per cent during the reviewing month to touch Rs 49,976 crore

India recorded a lower goods and services tax (GST) collection in August, official data released on Sunday revealed. The economy saw GST collection of Rs 1.75 lakh crore in August, lower in comparison to Rs 1.82 lakh crore recorded in the previous month.

The growth momentum of the GST remained near 10 per cent in August, as India clocked a GST collection of Rs 1.59 lakh crore in August 2023, reported Moneycontrol. In the first five months of 2024, the tax collections stood higher by 10.1 per cent at Rs 9.14 lakh crore. Domestically, revenue grew 9.2 per cent to touch Rs 1.25 lakh crore, while import revenue increased at a faster pace at 12.1 per cent during the reviewing month to touch Rs 49,976 crore.

The net GST revenue reached Rs 1.5 lakh crore, which was up by 6.5 per cent from the corresponding month a year earlier. The overall refund amount was Rs 24,460 crore, wherein domestic refunds contributed to 58 per cent of the total amount. The remaining amount came from exporter refunds.

The net GST revenue touched Rs 8.07 lakh crore, as of August, and this amount increased by 10.2 per cent in comparison to the same period a year earlier.

The GST Council is scheduled to hold its next meeting on September 9, where the panel will hold a discussion on the rationalisation of tax rates. The meeting will be chaired by Finance Minister Nirmala Sitharaman and be attended by state ministers. The meeting will also include a dialogue on the compensation cess on luxury and sin goods. 

Last week, the FM noted, “The upcoming GST Council meeting will take up the issue of rate rationalisation. There will be a discussion on the issue. Committee of officers will make a presentation on rate rationalisation.”