GST Collections Increase Nearly 8% Year-on-Year to Rs 1.74 Lakh Crore in June Sources
GST Collections Increase Nearly 8% Year-on-Year to Rs 1.74 Lakh Crore in June: Sources
India’s goods and services tax (GST) collections saw a 7.7 percent rise in June, reaching Rs 1.74 lakh crore, compared to Rs 1.73 lakh crore in May, according to sources who spoke to Moneycontrol on July 1.
While the June figures were slightly higher than those of May, they were still lower than the peak GST collection of Rs 2.1 lakh crore recorded in April.
In the first quarter of the year, total GST collections amounted to Rs 5.57 lakh crore, averaging Rs 1.86 lakh crore per month.
For the fiscal year 2024, the average monthly GST collection stood at Rs 1.68 lakh crore.
The data reveals that in June, Rs 39,586 crore of Integrated GST (IGST) was allocated to the Centre, while Rs 33,548 crore was distributed to the states.
The growth rate of GST collections fell below double digits for the first time since the pandemic began.
On Monday, the GST system marked its seventh anniversary. Experts suggest that GST revenues have greatly improved tax buoyancy.
A recent study by the Reserve Bank of India (RBI) highlighted that state GST has helped reduce the fiscal imbalance between the central and state governments. The share of GST in relation to GDP likely increased to 3 percent in FY24, up from 2.6 percent in FY20.
For the central government, the share of GST in GDP rose to 3.3 percent in FY24, compared to 3 percent in FY20.
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