GST collection in June at ₹95,610cr, says govt

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The government has collected Rs 95,610 crore from goods and services tax (GST) in June, finance secretary Hasmukh Adhia said on Sunday, asserting that the new tax measure has settled down well and has hardly had any adverse impact on inflation.

GST collection in previous month of May was Rs 94,016 crore and monthly average in the last financial year was Rs 89,885 crore.

Receipts from GST had crossed the Rs 1-lakh-crore mark in April due to the fiscal year-end effect and experts say that receipts may again spike in the months ahead as compliance rises and evasion is plugged. They added that the introduction of the e-way bill is expected to improve collection significantly.

“The tax reform has hardly had any adverse impact on inflation and revenue collection, and the GST has stabilised within a short period of one year. Strong political will and crystal clear directives, constructive discussions, cooperative and collaborative decision-making in the GST Council is a huge achievement — we must acknowledge that,” said Adhia during the function to mark GST day.

 Union minister for railways, coal, finance and corporate affairs Piyush Goyal said he expects the revenues from GST to rise in the months ahead as April, May and June are considered sluggish months for indirect taxes.
Goyal reiterated that GST collection this year is expected to top Rs 13 lakh crore, compared to the estimated collection of Rs 12 lakh crore. He said monthly collection is expected to reach Rs 1.1 lakh crore as compliance improves.

The government has exuded confidence that once revenues rise, benefits would be passed on to consumers and will help in lowering fiscal deficit, while providing headroom to reduce rates.