New Delhi: GST collections grew by 12.6% – the fastest pace of expansion in 17 months – to reach a record Rs 2,36,716 crore in April, buoyed by an over 20% jump in mop-up from imports.
Collections from domestic sources were 10.7% higher at a little under Rs 1.9 lakh crore, while gross import revenue rose to Rs 47,000 crore, up 20.8%. Refunds soared 48.3% to Rs 27,341 crore.On a net basis, collections rose 9% to Rs 2,09,376 crore.
GST figs show economy’s resilience: FM
Appreciating the efforts of officers, finance minister Nirmala Sitharaman said, “The figures showcase the resilience of Indian economyand effectiveness of cooperative federalism. Deepest gratitude to the taxpayers whose contributions and faith in the GST architecture drive the nation’s progress. Their contributions reflect a shared commitment to building a Viksit Bharat. Congratulations and sincere regards to the dedicated efforts finance ministers of all states and state GST authorities, who remain equal partners in India’s GST framework.”
Collections in April, based on transactions in March, are typically the highest as companies rush to meet year-end targets. “The record GST collections underscore the Indian economy’s underlying strength in the face of global economic uncertainties. Govt’s proactive measures to accelerate exports and other GST refunds have eased the working capital burden on industries, a benefit likely to translate to consumers over the medium to long term.The notable GST figures for April may have also been positively influenced by substantial exports to the US market prior to the announcement of reciprocal tariffs. While a potential moderation in absolute GST collections is anticipated next month due to the current global economic climate, the overall outlook for the Indian economy remains optimistic,” said EY India tax partner Saurabh Agarwal.
Experts also drew comfort from the growth being evenly spread out. Meghalaya reported a massive 50% jump in collections, while Andhra Pradesh, with a 3% decline, was at the other end of the spectrum.
“Collections have been uniformly high in all major producing/ consuming states and have been in the range 11% to 16%… It is interesting to note that there are more than five states, including UP, Gujarat, Maharashtra, Karnataka and Tamil Nadu, having more than 10 lakh GST registrations… These states account for the bulk of the GST collections,” said MS Mani of Deloitte India.
