![GST Hits record Rs 2.10 lakh crore in April](http://media.assettype.com/news-crunch%2F2024-05%2F1b0f4061-2e1e-42f8-87bc-a6932011375c%2FGST_Hits_record_Rs_2_10_lakh_crore_in_April.jpg?w=480&auto=format%2Ccompress&fit=max)
The Gross GST revenues grew by 12.4% in April, owing mostly to a 13.4% year-on-year growth in domestic transactions and increased compliance in the face of anti-evasion measures implemented by authorities. India's gross Goods and Services Tax (GST) collections hit a new high of Rs 2.10 lakh crore in April (for year-end sales in March), according to figures issued by the Finance Ministry on Wednesday (May 1).
The Gross GST revenues grew by 12.4% in April, owing mostly to an increase in domestic transactions, which increased 13.4% year on year, as well as improved compliance in the face of anti-evasion measures implemented by authorities.
This is the greatest level of GST collections since the indirect tax regime's inception in July 2017. The previous highest level registered under GST was Rs 1.87 lakh crore in April 2023, based on March 2023 year-end sales. After accounting for refunds, net GST revenue for April 2024 was Rs 1.92 lakh crore, up 17.1% from the same time last year. GST receipts reached a record high of Rs 2.10 lakh crore in April 2024. This reflects a remarkable 12.4 percent year-on-year gain, led by a robust increase in domestic transactions (up 13.4 percent) and imports (up 8.3 percent), according to a statement from the Finance Ministry. The GST revenue increased by 18.4% to Rs 1.65 lakh crore in the preceding month, net of refunds. The Net GST revenue for the fiscal year 2023-24 was Rs 18.01 lakh crore, up 13.4% from the previous year.
In April, 19 of the 38 states/union territories (including the Centre's authority) saw higher GST collections growth than the national average of 12.4%. In absolute terms, Maharashtra led the way with a collection of Rs 37,671 crore (13 percent rise), followed by Karnataka with Rs 15,978 crore (9 percent growth) and Gujarat with Rs 13,301 crore. Uttar Pradesh received Rs 12,290 crore (19% rise), followed by Tamil Nadu with Rs 12,210 crore (6%) and Haryana with Rs 12,168 crore (21% growth).
According to tax specialists, the record-high receipts are a result of economic activity and government GST audits. "The steady growth in GST collections, with this one being the greatest collection ever, is a big cheer and reflects on the strong home economy, especially given that growth in domestic transactions is 13.4% compared to imports, which is 8.3%. Another key factor for this surge could be the GST audit deadline and corresponding notices issued this year," said Abhishek Jain, Partner & National Head, Indirect Tax, KPMG.
Overall, total GST collections stood at Rs 2,10,267 crore in April, out of which Central GST — the tax levied on intra-state supplies of goods and services by the Centre — was Rs 43,846 crore, State GST — the tax levied on intra-state supplies of goods and services by the states — was Rs 53,538 crore, Integrated GST — the tax levied on all inter-state supplies of goods and services — was Rs 99,623 crore (including Rs 37,826 crore collected on import of goods) and cess.
The government paid Rs 50,307 crore to Central GST and Rs 41,600 crore to state GST under Integrated GST in April. As a result, the total revenue for the month after settlement was Rs 94,153 crore for the Centre and Rs 95,138 crore for State GST.