Global Economy

GST collection dips below Rs 1 lakh crore in June


GST collection dipped below Rs 1 lakh crore in June after staying above that mark for eight consecutive months.

Centre mopped up Rs 92,849 crore GST for the month of June of which CGST is Rs 16,424 crore, SGST is Rs 20,397 crore, IGST is Rs 49,079 crore (including Rs 25,762 crore collected on import of goods) and Cess is Rs 6,949 crore (including Rs 809 crore collected on import of goods)

The GST collection has been hit for June since the collections are related to transactions pertaining to the month of May during which localised lockdowns had affected the business climate. E-way bills for May also point to a slowdown in transactions. A total of 3.99 crore e-way bills were generated for May while it was 5.88 crore for April.

As the second wave tapers and vaccinations pick up, the business climate is expected to show a marked improvement resulting in bounce back of GST collections to over Rs 1 lakh crore.

“With reduction in caseload and easing of lockdowns, the e-way bills generated during June 2021 is 5.5 crore which indicates recovery of trade and business,” the official release said.

“While the GST collections did ease in June 2021 relative to the previous month, the pace of the moderation was muted as compared to the extent by which the GST e-way bills had fallen in the corresponding period (May 2021 vs. April 2021) as the state level restrictions had widened. Despite declining to a 10-month low, the June 2021 GST collections provided a positive surprise,” Aditi Nayar, chief economist, ICRA, said.



READ SOURCE

Leave a Reply

This website uses cookies. By continuing to use this site, you accept our use of cookies.