GST revenue collection touched a five-month high in September 2021The gross goods and services tax (GST) earnings collected in September 2021 touched a five-month high at Rs 1.17 lakh crore, remaining above the Rs 1 lakh crore mark for the 3rd month in a row, said the Ministry of Financing in a statement launched on Friday, October 1.
The GST revenue gathered last month is the highest in five months given that April, when income was at a record high of Rs 1.41 lakh crore.The record-high collection has actually raised expectations that the 2nd half of the year will post higher earnings.
The tax collections in September 2021 on products offered and services rendered was 23 percent greater than Rs 95,480 crore gathered in the corresponding month last year, and 27 per cent higher than Rs 91,916 crore collected in September 2019.
Out of the gross GST earnings - Rs 1,17,010 crore, gathered in September, the central GST is Rs 20,578 crore and the state GST is Rs 26,767 crore.
Likewise, the integrated GST is Rs 60,911 crore (-consisting of Rs 29,555 crore collected on import of goods) and the cess is Rs 8,754 crore (-including Rs 623 crore collected on import of goods), according to information by the financing ministry.The federal government has settled Rs 28,812 crore to CGST and Rs 24,140 crore to SGST from IGST as regular settlement.
The total income of the Centre and the states after the regular settlements in September stands at Rs 49,390 crore for CGST and Rs 50,907 crore for the SGST.The average monthly gross GST collection for the 2nd quarter of the existing year has actually been Rs 1.15 lakh crore, which is 5 per cent greater than the average monthly collection of Rs 1.10 lakh crore in the first quarter of the year.
The federal government had actually released GST payment of Rs.
22,000 crore to the states to fulfill their GST revenue space.
GST collection in August and July this year stood at Rs 1.12 lakh crore and Rs 1.16 lakh crore, respectively, as per federal government data.
The healthy GST collection in September is a reflection of the pick-up in eco activities as the country moves towards normalcy.
The vital aspect is that the healthy GST collection has actually been sustained for last couple of months.The enhancement in GST collection bodes well for the federal government's finances and is much required at this point in time.
This will assist keep the government's loaning under control, which in turn will reduce pressure on federal government securities (G-sec) yields, said Ms Rajani Sinha, Chief Economist - & National Director - Research Study, Knight Frank, India.