Brief Revenue Analysis Before and After GST Implementation

Before the implementation of GST, Indirect Taxes constituted Service Tax, Central Excise, and customs duties. Post GST implementation, except for petroleum products, service tax and duties concerning Central Excise were replaced with GST. On petroleum products, levy of Central Excise continued; on tobacco, both GST as well as Central Excise were levied.

In comparison to Financial Year (FY) 2016-17, the Union Government’s overall revenue collection increased by Rs 6,41,999 crores in FY 2017-18. As per the total revenue receipts, the portion of Indirect taxes has remained nearly constant and accounts for 38.76% in FY 2017-18, in comparison to 38.95% in FY 2016-17.

With regards to Indirect taxes, the growth rate dipped to 5.80% in FY 2017-18 when compared to FY 2016-17. During FY 2016-17, the growth rate was 21.33%.

In FY 2017-18, the Centre’s revenue concerning goods and services saw a 10% decline after GST implementation (exclusive of Central Excise on tobacco and petroleum). 

Also, a short transfer worth Rs 6,466 crore in the form of GST Compensation Cess was initiated to the Public Account during FY 2017-18.

As on February 28, 2019, the count of Pan-India registrations under GST was 1.20 crore. Out of the 1.20 crore registrations, composition taxpayers accounted for 14.63%, and normal taxpayers were around 84%.

Also Read: GST Annual Return Filing Gets an Extension Till 30 November 2019

Out of the total registrations, about 59,74,885 taxpayers were those who migrated from the pre-GST period, accounting for nearly 50%, while the remaining taxpayers were new registrations.

Take a look at how the GST revenue collection has been before and after the GST implementation:

  1. Before GST implementation
Tax Component Type FY 2016-17 (Before GST)

(In crores)

A. Total Revenue Receipts  
    1. Direct Tax Receipts 8,49,801
    2. Non-Tax Receipts 5,06,721
    3. Grants-in-aid & contributions 1,299
    4. Indirect Tax Receipts including other taxes 8,66,167                                                                                                                                               
B. Miscellaneous Capital Receipts 47,743
C. Public Debt Receipts 61,34,137
D. Recovery of Loans and Advances 40,971
Receipts of Government of India (A+B+C+D) 84,46,839

 

  1. After GST implementation
Tax Component Type FY 2017-18 (After GST)

(In crores)

A. Total Revenue Receipts  
    1. Direct Tax Receipts 10,02,738
    2. Non-Tax Receipts 4,41,383
    3. Grants-in-aid & contributions 3,582
    4. Indirect Tax Receipts including other taxes 9,16,445
B. Miscellaneous Capital Receipts 1,00,049
C. Public Debt Receipts 65,54,002
D. Recovery of Loans and Advances 70,639
Receipts of Government of India (A+B+C+D) 90,88,838
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