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    Government rakes in Rs 1.44 lakh crore GST collection in June — second highest since tax rollout

    Government rakes in Rs 1.44 lakh crore GST collection in June — second highest since tax rollout

    Government rakes in Rs 1.44 lakh crore GST collection in June — second highest since tax rollout
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    By CNBC-TV18  IST (Updated)

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    The gross GST revenue collected in the month of June 2022 is Rs 144,616 crore of which CGST is Rs 25,306 crore, SGST is Rs 32,406 crore, IGST is Rs 75,887 crore (including Rs 40,102 crore collected on import of goods) and cess is Rs 11,018 crore (including Rs 1,197 crore collected on import of goods), the ministry of finance said.

    India's gross Goods and Services Tax (GST) revenue in June — coupled with economic recovery and anti-evasion activities — was 56 percent higher than a year ago at Rs 1,44,616 crore. The GST collections in June 2021 had stood at Rs 92,800 crore.
    Of the gross GST revenue collected in June 2022, CGST accounts for Rs 25,306 crore, SGST Rs 32,406 crore, IGST Rs 75,887 crore (including Rs 40,102 crore collected on import of goods) and cess Rs 11,018 crore (including Rs 1,197 crore collected on import of goods), the Union Ministry of Finance said.
    The gross GST collection in June 2022 is the second-highest collection after the April 2022 collection of Rs 1,67,540 crore, the ministry said.
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    The government has settled Rs 29,588 crore to CGST and Rs 24,235 crore to SGST from IGST. In addition, the Centre has also settled Rs 27,000 crore of IGST on an ad-hoc basis in the ratio of 50:50 between the Centre and states/UTs this month.
    The total revenue of the Centre and the states in June 2022 after regular and adhoc settlement is Rs 68,394 crore for CGST and Rs 70,141 crore for the SGST.
    In June, revenue from import of goods was 55 percent higher and the revenue from the domestic transactions (including import of services) is 56 percent higher than during the same month last year.
    This is the fifth time the monthly GST collection crossed the Rs 1.40 lakh crore mark since its inception, and the fourth month at a stretch since March 2022.
    The collection in June 2022 is the second-highest but also has broken the trend of being a low collection month as observed in the past. The total number of e-way bills generated in the month of May 2022 was 7.3 crore, which is 2 percent less than the 7.4 crore e-way bills generated in the month of April 2022.
    The average monthly gross GST collection for the first quarter of the FY 2022-23 has been Rs 1.51 lakh crore against the average monthly collection of Rs 1.10 lakh crore in the first quarter of the last financial year showing an increase of 37 percent, the ministry added.
    Aditi Nayar, chief economist, ICRA said the June 2022 headline GST collections of Rs. 1.45 trillion are impressive, tracking the monthly average that we foresee for FY2023.
    "This implies a substantive upside of Rs 1.2 trillion to the government of India relative to its FY2023 Budget Estimates for CGST of Rs 6.6 trillion. The sharp YoY growth of 56% in headline GST revenues in June 2022 benefits from the economic recovery, and has also been boosted by the low base of the second wave of Covid-19 and the transmission of elevated commodity prices into output inflation," Nayar said.
    "If GST collections grow at the envisioned pace of 17 percent in FY2023, then many states may be able to withstand the end of the GST compensation period. However, some states with a relatively higher dependence on GST compensation within their revenue sources may find FY2023 to be a particularly challenging year," she added.

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