Business
Covid Fallout: June GST revenue slips below Rs 1 lakh crore after 8 months
The economic fallout of the second wave of covid-19 pandemic became more visible after the finance ministry released the figures of GST collection for the month of June. The GST revenue dipped to Rs 92,849 crore, first fall from Rs 1 lakh crore-mark in 8 months, since September 2020.
Of the gross collections, CGST stands at ₹16,424 crore, SGST is ₹ 20,397, IGST is ₹49,079 crore (including ₹25,762 crore collected on import of goods) and Cess is ₹6,949 crore (including ₹809 crore collected on import of goods), the Ministry of Finance said in a statement.
The GST collection for June is related to the business transactions made during May. In April and May, India was in the grip of covid 2nd wave which had forced the authorities to impose partial or complete lockdown across India. GST collections moderated to a eight-month low of Rs 1.02 trillion in May. However, with reduction in caseload and easing of lockdowns, the e-way bills generated during June 2021 is 5.5 crore which indicates recovery of trade and business.
“The GST collection for June 2021 is related to the business transactions made during May 2021. During May, most of the States/UTs were under either complete or partial lock down due to COVID,” the Finance Ministry said in a statement.
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In September 2020, the govt had recorded Rs 95,480 crore as GST revenue. The GST revenues for the month of June 2021 are 2 per cent higher than Rs 90,917 crore collected in June 2020.
Analysts are of the view that while the monthly collection had come below the Rs 1 lakh crore mark after a long time, it was not a matter of concern.
“While the collections are lower than Rs 1 lakh crore, which had become the norm for the past few months, considering the fact that it relates to transactions in May 2021 which was badly impacted by the pandemic, it would be considered as a very satisfactory collection,” said Moneycontrol.com quoted Deloitte India Senior Director MS Mani as saying
