- The Goods and Services Tax collection touched an all-time high of over 1.68 lakh crore, the ministry of finance said while citing the improvement in economic activities.
- This marks a 20 percent increase from the previous year’s level on the back of improved compliance, enforcement action against tax evaders and pick-up in economic activity.
- Revenues from import of goods were 30 per cent higher and from domestic transactions (including import of services) was 17 per cent more.
- What made this possible?/ Reasons
- Clear improvement in the compliance behaviour.
- Various measures taken by the tax administration to nudge taxpayers to file returns timely.
- To make compliance easier and smoother and strict enforcement action taken against errant taxpayers identified based on data analytics and artificial intelligence.
- The rise could also be attributed to year-end activity, higher inflation rate, input tax credit being allowed only on timely compliance by vendors and high value of imports.
- State wise data:
- There was divergence seen amongst states for the GST collections raised, ranging between a contraction of 33 per cent in Manipur and 2 per cent in Bihar to growth of 90 per cent in Arunachal Pradesh, 33 per cent in Uttarakhand, 32 per cent in Nagaland, 28 per cent in Odisha and 25 per cent in Maharashtra.
- Gross GST revenue:
- CGST the tax levied on intra-state supplies of goods and services by the Centre is lowest.
- SGST the tax levied on intra-state supplies of goods and services by the states is higher than CGST.
- IGST tax levied on all inter-state supplies of goods and services is the highest.