GST collection up 28% in Aug; above ₹1.4 lakh cr for 6th straight month

The government collected gross GST (Goods and Services Tax) revenue of ₹1,43,612 crore in August 2022, around 28% higher than the GST revenue worth ₹1,12,020 crore collected in the same month in 2021, the Ministry of Finance data shows. With this, the monthly GST revenue collection has remained over ₹1.4 lakh crore for six months in a row. The gross GST collection in August, however, is lower than the revenue worth ₹1,48,995 crore collected in July 2022. The GST revenue collection for July was the 2nd highest ever after April's GST collection.

In FY23, too, the gross GST collection has remained above the ₹1.40 lakh crore mark - the highest ₹1.67 lakh crore in April, ₹1.41 lakh crore in May, ₹1.45 lakh crore in June, ₹1.49 lakh crore in July and ₹1.43 lakh crore in August.

The finance ministry data shows that of the entire collection of ₹1.43 lakh crore in August, CGST (Central Goods and Services Tax) accounted for ₹24,710 crore, SGST (State Goods and Services Tax) for ₹30,951 crore, IGST (Integrated Goods and Services Tax) accounted for ₹ 77,782 crore. The IGST also includes ₹42,067 crore collected on import of goods and cess worth ₹10,168 crore.

The government says it has settled ₹29,524 crore to CGST and ₹25,119 crore to SGST from IGST. The total revenue of Centre and the states in August 2022 after regular settlement is ₹54,234 crore for CGST and ₹56,070 crore for the SGST.

During the month, revenues from import of goods was 57% higher and the revenues from domestic transactions (including import of services) are 19% higher than the revenues from these sources during the same month last year, says the ministry.

The growth in GST revenue till August 2022 over the same period last year is 33%, continuing to display very high buoyancy. "This is a clear impact of various measures taken by the Council in the past to ensure better compliance. Better reporting coupled with economic recovery has been having a positive impact on the GST revenues on a consistent basis," says the ministry.

During July 2022, 7.6 crore e-way bills were generated, which was marginally higher than 7.4 crore in June 2022 and 19% higher than 6.4 crore in June 2021, it adds.

In the month of July, essential food items like atta, paneer, curd, rice, oats, organic food, pulses and bread were put under the 5% GST slab. Besides, hospital rooms with rent above ₹5,000 and ostomy appliances also attract 5% GST. Those staying at hotels also need to pay more as the GST Council implemented a 12% tax on hotel rooms offering tariffs of up to ₹1,000 per day.

Items like charts and maps (atlases) are also taxed at 12% now. The government also decided to charge 18% GST on tetra packs and on cheques issued by banks. However, later finance minister Nirmala Sitharaman clarified that items like rice, pulses, wheat, flour, oats, maize and curd won’t attract any GST when sold loose.