In fresh high, gross GST revenues shoot past ₹2.1 lakh crore in April

India's GST revenues hit record ₹2.1 lakh crore in April, with 12.4% growth, boosted by domestic transactions and imports.

Year-end compliances lifted India’s gross Goods and Services Tax (GST) revenues past a record ₹2.1 lakh crore in April, reflecting a 12.4% growth over the previous record tally of ₹1.87 lakh crore in the same month last year. Net of refunds, GST revenues for the month were at ₹1.92 lakh crore, 17.1% higher than April 2023’s collection.

Revenues from domestic transactions grew 13.4%, the Finance Ministry said, while goods imports yielded an 8.3% uptick in the indirect tax collection, helping GST inflows “breach the landmark milestone of ₹2 lakh crore”.

This marks a rebound in revenues from goods imports that had contracted 5% in March, while domestic transactions’ growth weakened in April relative to the 17.6% uptick recorded in the previous month. Overall, gross GST revenues had grown at a slower pace of 11.5% in March, while net revenues were up 18.4%, slightly faster than April’s growth in the net kitty.

GST Compensation Cess collections also hit an all-time high of ₹13,260 crore, which included ₹1,008 crore collected on imported goods. The Cess is levied on select goods like automobiles and tobacco products over and above the peak GST rate of 28%.

Initially introduced for five years to compensate States for revenue losses owing to the 2017 switch to the GST regime, the Cess is now being utilised to repay loans taken during the pandemic to recompense States amid a lockdown-triggered collapse in revenues.

The Ministry emphasised that there had been a positive performance across components, pointing to Central Goods and Services Tax (CGST) revenues of ₹43,846 crore, State GST revenues of ₹53,538 crore and Integrated Goods and Services Tax (IGST) inflows of ₹99,623 crore. The IGST collections included ₹37,826 crore collected on imported goods.

The Ministry emphasised that there had been a positive performance across components, pointing to Central Goods and Services Tax (CGST) revenues of ₹43,846 crore, State GST revenues of ₹53,538 crore and Integrated Goods and Services Tax (IGST) inflows of ₹99,623 crore. The IGST collections included ₹37,826 crore collected on imported goods.