GST collections for July at Rs 1,16,393 crore, improving the govt’s income collection.

GST collections for July at Rs 1,16,393 crore, improving the govt’s income collection.

After falling below the Rs 1 lakh crore barrier in June, the government earned Rs 1,16,393 crore in GST income in July.

The income for July is 33% greater than the same period last year when Covid’s first wave impacted the majority of economic activity.

Increased tax collection also aided in managing the first-quarter fiscal deficit, which was at an eight-year low.

GST income had been steadily increasing for eight months, before falling to Rs 92,849 crore in June as municipal lockdowns hampered economic activity.

[pt_view id=”c8bb8e9z6d”]

CGST is Rs 22,197 crore, SGST is Rs 28,541 crore, IGST is Rs 57,864 crore (includes Rs 27,900 crore collected on goods imported) and Cess is Rs 7,790 crore for July (including Rs 815 crore collected on import of goods).

GST collected from GSTR-3B returns filed between July 1, 2021, and July 31, 2021, as well as IGST and cess collected from imports, are included in the aforementioned figure.

“With the removal of COVID limits, GST collection for July 2021 has surpassed Rs 1 lakh crore for the second time, indicating that the economy is rapidly recovering. GST revenues are expected to remain strong in the next months as well “In a statement, the finance ministry stated.

SECTION 206AB- SPECIAL PROVISION FOR DEDUCTION OF TAX AT SOURCE FOR NON-FILERS OF INCOME-TAX RETURN. Read More…

GST revenue collection is expected to pick up steam in the coming months as economic activity returns to normal.

“While GST revenues in July 2021 showed a positive sequential increase as well as a significant YoY gain, they are still far below the all-time high set in April 2021. This, in our opinion, is more evidence that the June 2021 graded unlocking sparked an incomplete recovery, which is projected to intensify in July 2021, enhancing August 2021 GST receipts even more. In July 2021, the rate of growth throughout the states was quite varied, with some industrial heavyweights reporting a strong increase.”