INDIA GST COLLECTION

GST simplified compliance, improved tax buoyancy; fake ITC generation still a challenge

Introduced seven years ago, the Goods and Services Tax (GST) has streamlined compliance and boosted tax revenues, but challenges persist with fake invoices and fraudulent registrations causing tax evasion concerns. Despite this, GST has simplified the tax regime, increased taxpayer numbers, and improved tax buoyancy and state revenues. However, efforts to combat evasion are ongoing, with the need for further measures such as operationalizing the GST appellate tribunal.

Banks in a GST fix over RBI's directive to levy penal charges

The Reserve Bank of India's directive to levy penalties only in the form of 'penal charges' is posing a tax dilemma for banks. Banks fear that the indirect tax on such levies would attract the goods and services tax (GST). The new rule, which came into force from April 1, 2024, was brought in by the central bank to ensure "reasonableness and transparency" in disclosure of penal interest. However, banks have asked the tax authorities to spell out their stand on the issue.

India’s ‘sin’ is govt’s bounty: GST cess may deliver Rs 70,000 cr bonanza

The Centre is anticipating a significant surplus of approximately Rs 70,000 crore from GST compensation cess collections, even after repaying loans taken during the Covid-19 period on behalf of states. This unexpected windfall is due to robust collections from sin goods like pan masala, cigarettes, and automobiles. Officials suggest that this surplus could allow for early loan repayments and still leave a substantial amount for other uses.

GST council has taken some far-reaching steps: Pratik Jain, PwC India

The GST on petrol and diesel and all the passenger fuels will take a lot of time. GST on ATF and natural gas could come in hopefully soon, but for other petroleum products like petrol and diesel and other passenger fuels, where a lot of revenue is involved, it will take some time, says Pratik Jain, Partner, PwC India

GST collection in May moderates from record high to Rs 1.73 lakh crore

In May, the Centre collected Rs 1.73 lakh crore in GST, a 10% annual increase. This is down from April's record Rs 2.1 lakh crore. The growth stemmed from a 15.3% rise in domestic transactions and a 4.3% decline in imports. Net GST revenue, after refunds, was Rs 1.44 lakh crore.

Govt's cash balance surges, banks starve

The ongoing general elections have led to a surplus in government cash balances, impacting the banking sector due to reduced spending. The Centre's adoption of efficient fund management practices has resulted in over ₹3 lakh crore in cash balances, affecting borrowing costs and liquidity in the market.

Growth momentum likely to stay in Q1FY25: FinMin

The finance ministry's April report predicts strong economic activity in FY25, with rising industrial activity and fixed investments. Positive macro-economic indicators include a bright manufacturing outlook and improved services sector, supported by increased capacity utilization and EPFO data.

Implementation of GST has helped poor: Sitharaman

Finance Minister Nirmala Sitharaman highlighted the significant impact of GST on the economy, praising its role in benefiting the poor by lowering taxes on essential items and improving tax buoyancy across states.

Stage set for more reforms, growth

Dabur India assured that all its spices meet the regulations set by the FSSAI for the Indian market and by the Spice Board of India for overseas markets. CEO Mohit Malhotra stated that export consignments undergo testing by the Spice Board before shipment, ensuring compliance with regulations. The company uses steam sterilization for export consignments and has established an in-house micro lab for microbial testing.

Record GST mop-up reflects robust eco, audit efficacy; raises hope for further reforms: Experts

Tax experts hailed the record-breaking GST collection of Rs 2.10 lakh crore in April, attributing it to a robust economy and effective audit and scrutiny by the tax department. They anticipate this achievement to pave the way for further tax reforms after the formation of the new government. The surge in collection is seen as a result of higher self-compliance, better enforcement measures, and increased consumer spending on items like air conditioners and beverages to combat the summer heat.

April GST numbers are here and they're off the charts

India's economy is estimated to have grown 7.6% in FY24. The IMF expects India's GDP to expand 6.8% in FY25, retaining its status as the world's fastest-growing major economy. Total GST collection was ₹1.78 lakh crore in March while the monthly average for FY24 was ₹1.68 lakh crore.

GST revenue collection hits record high of Rs 2.10 lakh cr in April

India's Goods and Services Tax (GST) collections soared to a new peak of Rs 2.10 lakh crore in April, marking a 12.4% increase from the previous year, according to the Finance Ministry. The surge was fueled by a 13.4% rise in domestic transactions and an 8.3% increase in imports.

GST revenue collection hits record high of Rs 2.10 lakh cr in April, up 12.4% YoY

Systemising the game

MeitY's AI advisory ignited debates on regulating AI. SROs, endorsed by RBI for fintech sector, are crucial. Online gaming sector under GoI's scrutiny. Skill vs chance, clear guidelines, and international regulatory examples are key for effective governance.

India's net direct tax kitty at Rs 19.58 lakh cr, exceeds revised estimates by Rs 13k cr

India's net direct tax collections surged by 17.7% year-on-year to Rs 19.58 crore in fiscal year 2023-24, exceeding revised estimates by Rs 13,000 crore, reflecting economic buoyancy and rising income levels. Gross direct tax collections (provisional) for FY 2023-24 rose 18.48% to Rs 23.37 lakh crore, with refunds totaling Rs 3.79 lakh crore.

At Rs 1.8 lakh cr, March mopup second best since GST rollout

India's goods and services tax (GST) collection in March reached ₹1.78 lakh crore, marking an 11.5% increase from the previous year and the second-highest since the tax regime's launch in 2017. The total gross collection for FY24 exceeded the revised budget estimate, standing at ₹20.18 lakh crore. This indicates strong domestic demand, with average monthly collections in 2023-24 up by 17.6% year-on-year. Experts suggest that the upcoming general election may further boost consumption and GST collection, potentially leading to a revision of the FY25 GST target.

Key indicators point to economic resilience at the end of FY24: NCAER

NCAER's economic review forecasts a strong outlook for India's economy, with robust manufacturing and service sector PMI, buoyant GST collections, and elevated inflation rates likely leading to unchanged policy rates in the upcoming Monetary Policy Committee meeting.

After GDP data, Feb numbers show economy continues forward march

India's economy continues to cruise with 8.4% expansion in Q4. GST collection surged 12.5%. Auto firms saw highest monthly sales. Manufacturing activity hit a five-month high. Deloitte India highlights broad-based consumption increase. HSBC India Manufacturing PMI strengthens. Car sales reach all-time high. UPI transactions and coal production rise. Electricity consumption and railways freight show growth.

GST collections for February at Rs 1.68 lakh crore, up 12.5%

Out of the total collections, Central Goods and Services Tax (CGST) stood at Rs 31,785 crore, State Goods and Services Tax (SGST) was Rs 39,615 crore and Integrated Goods and Services Tax (IGST) was Rs 84,098 crore, including ₹38,593 crore collected on imported goods.

India's GST collection increases 12.5% to Rs 1.68 lakh crore in February

India's goods and services tax (GST) collection for February reached Rs 1.68 lakh crore, marking a 12.5 per cent increase from the previous year. This growth was driven by a 13.9 per cent rise in domestic GST transactions and an 8.5 per cent increase in GST from imported goods.

PMI, GST mopup point to India's resilient economy in Q4

NCAER noted that high frequency indicator like Purchasing Managers' Index and Goods and Services Tax collection indicated a resilient economy with services accelerating and manufacturing gaining momentum.

GST collections surge to ₹1.72 lakh crore in January 2024, marking a 10.4% Y-o-Y growth

GST Collections: India's Goods and Services Tax (GST) revenue has witnessed a notable upswing, reaching ₹1.72 lakh crore in January 2024, marking a significant 10.4% Year-on-Year (Y-o-Y) growth. This accomplishment represents the second-highest monthly collection ever recorded and the third instance in the fiscal year 2023-24 where collections surpassed ₹1.70 lakh crore. The cumulative gross GST collection for the ten-month period from April 2023 to January 2024 demonstrates a robust 11.6% Y-o-Y growth, totaling ₹16.69 lakh crore.

GST collections up 10% YoY at ₹1.64 lakh crore in Dec

GST collection: Experts said the double-digit growth in collections reflected the underlying economic momentum and the monthly moderation was attributable to holidays and the base effect.