In October, India witnessed a remarkable resurgence in its Gross Goods and Services Tax (GST) revenues, with collections surging by an impressive 13.4% to reach a substantial monthly total of Rs. 1.72 lakh crore. This noteworthy growth reflects the most significant year-on-year increase since December 2022, following a relatively sluggish period in September when indirect tax collections experienced their slowest growth in 27 months at a mere 10.2%. The upswing in October's GST revenue was primarily attributed to increased domestic transactions and a boost in services imports. Notably, the Finance Ministry chose not to disclose the specific revenue growth stemming from goods imports, leaving room for speculation.
In addition to the overall GST collections, the GST Compensation Cess saw a remarkable achievement in October, reaching an all-time high of Rs. 12,456 crore. This surpassed the previous record of Rs. 12,025 crore, which was collected in April of the same year. It's worth noting that the GST Compensation Cess will continue to be levied at least until March 2026, making this increase in collections even more significant.
The zenith of GST revenue was reached in April 2023, with collections soaring to an impressive Rs. 1.87 lakh crore. This further underscores the fiscal significance of the GST in India.
Taking into account the performance in the fiscal year 2023-24, the average monthly GST collection stands at Rs. 1.66 lakh crore, reflecting an 11% increase compared to the corresponding period in the previous year. This consistent growth trend is a positive indicator of the overall economic health and fiscal stability of the nation.
Indian Tax Authorities Issue Rs.1 Trillion Tax Notices to Online Gaming Companies
