GST revenue crosses ₹1.51 lakh crore in October

Revenue from domestic transactions, including import of services, grew by 18% during the month Finance Ministry Stating that October is the second largest collection from domestic transactions ‘after April 2022’.

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While the government did not share the total increase in revenue From imports of goods for October, the Integrated GST (IGST) collected on goods imports increased by 13.02% over the previous October, while the GST cess on such imports increased by 18.02%.

“This is the ninth consecutive month and for eight consecutive months the monthly GST revenue has exceeded Rs 1.4 lakh crore,” the ministry said.

During September 2022, the transactions of which are reflected in the October revenue, 8.3 crore e-way bills were generated, which the ministry described as “significantly higher” than the 7.7 crore bills generated a month ago.

There was a significant difference in the revenues of the major states during the month. While Haryana recorded a growth of 37%, followed by Karnataka (33%), Kerala (29%), West Bengal (26%) and Tamil Nadu (25%), Gujarat and Telangana revenues at the national average (11 %) grew slowly. ), Madhya Pradesh and Rajasthan (10%) and Uttar Pradesh (16%).

Six states including Chhattisgarh (-3%), Assam (-13%), Mizoram and Manipur (-23% each) and Bihar (-1%) registered negative year-on-year growth. The erstwhile state of Jammu and Kashmir saw a sharp 34% drop in revenue even as they saw a 74% jump in the Union Territory of Ladakh.

“October 2022 reflects a combination of quarter-end inflows related to transactions in the previous month as well as an increase in GST e-way bills ahead of a strong festive season,” said Aditi Nair, Chief Economist, ICRA.

Commenting on GST revenue growth in October to 16.6 per cent from 26 per cent in September, he said this was “expected given the normalization basis, and may continue over the next few months”.

“We expect the CGST collection to exceed Rs 1.3-1.4 lakh crore from this year’s budget estimate,” Ms. Nair said.

Abhishek Jain, Partner (Indirect Tax), KPMG in India, attributed the higher collections to festive expenses and said that the collections may increase further during the festive season.

The Central GST (CGST) revenue for the month was ₹26,039 crore, while the State GST (SGST) kitty stood at ₹33,396 crore. IGST revenue was ₹81,778 crore, of which ₹37,297 crore collected on import of goods and GST cess collection was ₹10,505 crore, which included ₹825 crore from import of goods.

The highest GST collection in a month was recorded in April this year at Rs 1,67,540 crore.