India’s Q1 GST collection plunges 59%, June Collection improves to Rs. 90,917crore

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New Delhi : India’s June GST collection dropped by 9 per cent to Rs.90,917  crore against 99940 Crore in June 2019.  With this the cumulative GST collection has dropped by 59 per cent to Rs.185920 Crore in the April-June quarter from Rs. 314095 Crore in the corresponding quarter of last year.

The drop in GST collection is being attributed to the business disruptions caused due to the nationwide lockdown imposed by the government to control the spread of COVID-19 pandemic. The government had withheld the release of GST data for the months of April and May in view of the extension of the last date of GST return till June 30.

“The gross GST revenue collected in the month of June, 2020 is Rs. 90,917crore of which CGST is Rs. 18,980crore, SGST is Rs. 23,970crore, IGST is Rs. 40,302crore (including Rs. 15,709crore collected on import of goods) and Cess is Rs.7,665 crore (including Rs. 607crore collected on import of goods). The government has settled Rs. 13,325crore to CGST and Rs. 11,117crore to SGST from IGST as regular settlement.The total revenue earned by Central Government and the State Governments after regular settlement in the month of June,2020 is Rs. 32,305 crore for CGST and Rs. 35,087 crore for the SGST” said the Finance Ministry in a statement.

During the month, the revenues from import of goods were 71% and the revenues from domestic transaction (including import of services) were 97% of the revenues from these sources during the same month last year.During the month of June, returns of February, March, and April 2020 have also been filed in addition to some returns of May 2020 since Government has allowed a relaxed time schedule for filing of GST returns. Some returns of May 2020, which would have otherwise got filed in June 2020, will get filed during first few days of July 2020.

“The revenues during the financial year has been impacted due to COVID-19, firstly due to the economic impact of the pandemic and secondly due to the relaxations given by the Government in filing of returns and payment of taxes due to the pandemic. However, figures of past three months show recovery in GST revenues. The GST collections for the month of April was Rs. 32,294 crorewhich was 28% of the revenue collected during the same month last year and the GST collections for the month of May was Rs. 62,009 crore which was 62%of the revenue collected during the same month last year. The GST collections for the first quarter of the year is 59%of the revenue collected during the same quarter last year. However, a large number of taxpayers still have time to file their return for the month of May, 2020” said the finance ministry..

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