New Delhi, August 02: Making a hat trick of reaching Rs 1 trillion mark consecutively this year, the Central and the State governments have moved up collecting revenue worth Rs 1,02,083 crore from GST in the month of July, being 5.8 per cent more than what was mopped up in the same month a year ago.
Tax collected in July pertain to the transactions in June where a 10 per cent annual growth in April GST receipts collections remained rangebound between 6.6 and 5.8 per cent. The Centre is however bound to compensate states for any shortfall in their revenue collection below by agreeing 14 per cent annual growth every year in the first five years of GST regime.
"The union government collected Rs 17,912 crore, while states collected Rs 25,008 crore. Receipts from integrated GST on inter-state sales stood at Rs 50,612 crore and from GST cess at Rs 8,551 crore. On account of the revenue shortfall in financial year 2019 and the growth rate remaining below 14 per cent so far in year 2020, the central government’s requirement to compensate states continues and raises questions about states revenue position after the first five years of GST if the current trend continues. Central and states collected and average Rs 93,114 crore a month last fiscal against a Rs 1 trillion combined monthly target", the statement reported.
"The domestic component of the revenue has grown by 9.2 per cent while the GST on imports has come down by 0.2 per cent and the total collection has grown by 6.83 per cent and Rs 17,789 crore has been released to the states as GST compensation for the months of April-May, 2019", the report noted further.