Comprising only 0.62 percent of the taxpayer base, public listed companies contributed 35.29 percent of the revenues under GST, while proprietorships with the maximum 80.18 percent taxpayer base contributed 13.35 percent of the revenue, detailed statistics for the three years under GST released by the Goods and Services Tax Network (GSTN) showed. Revenue share remained skewed on turnover basis as well with 7 percent of the taxpayer base having annual turnover above Rs 5 crore contributing 80.7 percent to overall GST revenue. Public sector undertakings (PSUs), with only 0.02 percent share in the taxpayer base, accounted for 9.12 percent of the total GST revenue, it showed.
On turnover basis, 22 percent of the taxpayers recorded nil tax liability under the indirect tax regime, while 28 percent of the taxpayers having annual turnover of up to Rs 20 lakh account for 1.3 percent of the revenue, a government official said. While 32 percent of taxpayers having annual turnover of Rs 20 lakh-Rs 1.5 crore account for 8 percent of the GST revenues, those with Rs 1.5-5 crore turnover contribute 10 percent to the overall revenue.
The average number of generation of invoices by taxpayers stood at 25 per month, with large taxpayers having turnover above Rs 500 crore accounting for the highest generation of 5,081 invoices in a month. Taxpayers having turnover between Rs 40-50 lakh on an average only generate 7.56 invoices in a month, while those with turnover between Rs 50-70 lakh generate 9.46 invoices in a month on an average, the data showed. It is only for the turnover slab of Rs 70 lakh-Rs 1 crore that invoice generation number turns double-digit to 12.91 in a month.
“If one sees the data carefully, the average number of invoices generated in a month is very less for businesses with lower turnovers. For instance, those above the new exemption threshold of Rs 40 lakh are generating only 7.56 invoices in a month. This is contrary to the usual claim of uploading a high number of invoices in a month,” the official said.
The lower level of compliance is reflected also in another dataset: about 43 percent of the taxpayer base show turnover below Rs 40 lakh. The official said that many taxpayers are still not divulging their true turnover in GST returns for the fear of being tracked from the direct tax authorities and this is a major area for GST pilferage.