GST collections sets up a second all time high revenue in July

Goods and Services Tax (GST) was set up a second largest revenue record collection of Rs 1, 48,995 crore in the month of July. This was 28 percent higher as compared to the same month last year. Of the total CGST was Rs 32,807 crore and SGST was Rs 79,518 crore which includes Rs 41,420 crore collection of imports and CESS of  Rs 10,920 crore which also includes Rs 955 crore collected on import of goods.

Goods and Services Tax

In June the total GST collection was 1.44 lakh crore. For five months in a row now the GST revenues  has been increasing steadily month by month and it was more then Rs 1.4 lakh crore.For the first time in the month of April GST revenue collections crossed Rs 1.5 lakh crore and recorded Rs 1.68 Lakh crore for that month.

The growth in GST revenue till july 2022 over the last year is 35% and displays a very high exuberance. This shows that the measures taken by the Council in earlier meetings has a great impact to ensure better compliance. With this huge impact on getting good GST revenues on consistent basis shows the positive signs of economic recovery.

The five year GST regime was completed in June. The central government has brought uniform taxation system with transparency and accountability with a simpler registration process.  GST was introduced w.e.f 1st july 2017 across the country and states were assured for compensation for loss of any revenue arising out of the GST implementation as according to the GST compensation to states act 2017 for a period of five years.

In order to provide compensation to states ,Cess is being levied on certain goods and the amount collected from cess is credited to Compensation Fund w.e.f from July 1 2017. In recent GST meeting     several states have asked for extension of compensation for few more years and the central government is yet to take the decision.