On a year-on-year comparison i.e. May 2020, the GST collections had stood at Rs 62,009 crore.
As the Indian economy continues to be in the doldrums, with the impact anticipated to be worse thanks to the second wave of COVID-19, the GST collections for the month of May have slumped to an 8-month low and stand at Rs 1.02 Lakh Crore, government data showed on Saturday.
In April, record GST collections were made amounting to Rs 1.41 lakh crore. In May, despite most states imposing strict restrictions to break the chain of transmission of the infection, the collection remained over the 1 lakh crore mark.
“Gross GST revenue collected in May 2021 is Rs 1,02,709 crore of which, CGST is Rs 17,592 crore, SGST is Rs 22,653 crore, IGST is Rs 53,199 crore (including Rs 26,002 crore collected on import of goods) and Cess is Rs 9,265 crore (including Rs 868 crore collected on import of goods),” a statement by the Finance Ministry said.
“Collections above Rs 1 lakh crore pertaining to the transactions in the month of April indicate that the economic impact of the lockdowns has been much lower than expected. A close watch is required on the next month’s collections to determine the extent of the impact on GST collections FY22,” said M S Mani, Senior Director, Deloitte India.
The Finance Ministry said that the May GST figures included collections from domestic transactions till 4th of June since taxpayers were given various relief measures in the form of waiver/reduction in interest on delayed return filing for 15 days for the return filing month of May in the wake of Covid pandemic second wave.
On a year-on-year comparison i.e. May 2020, the GST collections had stood at Rs 62,009 crore. Last year, after the nationwide lockdown was announced in March, GST collections had dipped to a record low of Rs 32,172 crore in April (for sales in March).
“During the month, revenues from import of goods were 56 percent higher and the revenues from the domestic transaction (including import of services) are 69 percent higher than the revenues from these sources during the same month last year,” the Finance Ministry said.
The slump in GST collections is further expected to go below the Rs 1 trillion mark in June as e-way bill generation, which indicates supply in the economy, declining to a one-year low-level average of 1.2 million per day in May.