New Delhi: The Goods and Services Tax (GST) collection in India grew by 12% to over ₹1.61 lakh crore in June 2023, according to the Ministry of Finance. This is the highest monthly GST collection in the history of the GST regime.
The CGST (central GST) collection stood at ₹31,013 crore, while the SGST (state GST) collection was ₹38,292 crore. The IGST (integrated GST) collection was ₹80,292 crore, and the cess collection was ₹11,900 crore.
The growth in GST collection was driven by strong growth in the manufacturing sector, as well as an increase in consumer spending. The manufacturing sector grew by 19.6% in May 2023, and consumer spending grew by 8.7% in the same month.
The GST collection in the first six months of the current financial year (2023-24) stood at ₹10.4 lakh crore, which is 15.3% higher than the collection in the same period of the previous financial year.
The government is expecting the GST collection to grow by 17% in the current financial year. This would help the government meet its fiscal deficit target of 6.4% of GDP.
The growth in GST collection is a positive sign for the Indian economy. It shows that the economy is recovering from the pandemic and that consumer spending is picking up. This is likely to boost economic growth in the coming months.
Here are some of the factors that contributed to the growth in GST collection in June 2023; strong growth in the manufacturing sector, increase in consumer spending, increased compliance by taxpayers, and expansion of the GST network.
The growth in GST collection is a positive sign for the Indian economy. It shows that the economy is recovering from the pandemic and that consumer spending is picking up. This is likely to boost economic growth in the coming months.