The Goods and Services Tax (GST) collected in December 2021 was Rs.1,29,780 crore. It comprises Rs.22,578 crore of CGST, Rs.28,658 crore of SGST, Rs.69,155 crore of IGST and a cess of Rs 9,389 crore.
The Ministry of Finance (MoF) issued a press release on 1st January 2022. It produced figures and analysis on the December 2021 GST revenue collections. The government has recorded a month-on-month revenue drop of 1.3% compared to November 2021, where the collection was Rs.1,31,526 crore.
The total IGST revenue for December 2021 includes Rs.37,527 crore from the import of goods. Whereas, Rs.614 crore of cess can be attributed to importing goods. Out of total IGST, the government has distributed Rs.25,568 crore towards CGST and Rs.21,102 crore towards SGST as regular settlement. Rs.48,146 crore for CGST and Rs.49,760 crore for the SGST are respectively the Centre’s total revenue and states in December 2021 after settlements.
The government stated that December 2021 revenues are higher by a 13% M-o-M than last year. It further highlighted the growth of 26% in GST revenues compared to December 2019.
During the month, revenues from import of goods were 36% higher. The domestic transactions and import of services revenues were 5% more than the same month last year. The monthly GST collections for the third quarter, on average, has been Rs.1.30 lakh crore, well above the figures posted during the first and second quarter.
The government has recognised the reasons for improving tax compliance and better administration by the tax authorities at the Centre and states. The good economic recovery rate and anti-evasion measures against fake billing have promoted better collections. Revenue improvement is also due to various rate rationalisation measures by the GST Council for correcting the inverted tax structure in a few industries.
The GST collection in December 2021 rose to almost Rs.1.30 lakh crore, even with a 17% fall in the number of e-way bills generated in November 2021 compared to October 2021. The government signalled a healthy number in the revenues for the last quarter of 2021-22.
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Annapoorna, popularly known as Anna, is an aspiring Chartered Accountant with a flair for GST. She spends most of her day Singing hymns to the tune of jee-es-tee! Well, not most of her day, just now and then.