GST Collections Hit Three-Month High in July, Up 10.3%
The government is also considering simplifying GST rates to three tiers.
India’s GST collections increased by 10.3% in July, 2024.
India’s GST collections increased by 10.3% to Rs 1.82 lakh crore in July, reaching a three-month high compared to Rs 1.74 lakh crore in June, according to data released on August 1.
This marks a return to double-digit growth following a dip below 10% in June.
The rise in collections, driven by heightened economic activity in states like Nagaland, Manipur, Andaman & Nicobar, and Ladakh, is significant.
Despite this monthly increase, July’s figures were still lower than the Rs 2.1 lakh crore peak in April.
Gross GST collections increased by 10.2% to Rs 7.39 lakh crore in the first four months of the fiscal year.
In July, domestic GST revenue increased by 8.9%, and revenue from imports rose by 14.2%. Refunds decreased by 19% compared to the previous year, amounting to Rs 16,283 crore, of which Rs 11,566 crore was for Integrated Goods and Services Tax.
Net domestic revenues hit Rs 1.66 lakh crore, a 14.4% increase from last July’s Rs 1.45 lakh crore. The Budget 2024, released on July 23, projects an 11% rise in GST revenues for FY25.
Experts suggest that while GST tax buoyancy is expected to decline, it will remain positive.
The government is also considering simplifying GST rates to three tiers, down from the current four (5%, 12%, 18%, and 28%).
