Economy India

PM Modi Praises Record-Breaking GST Collection, Boosting Indian Economy

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modestadorsett

Prime Minister Narendra Modi took to Twitter to announce the highest-ever GST revenue collection for April 2023, amounting to ₹1.87 lakh crore. He called it “great news for the Indian economy,” attributing the success to increased integration and compliance through GST, despite lower tax rates.

All-Time High GST Collection

The gross GST collection in April 2023 has reached an all-time high of ₹1,87,035 crore, surpassing the next highest collection of ₹1,67,540 crore in April 2022 by ₹19,495 crore.

Increase in GST Revenues

The GST revenues for April 2023 are 12 per cent higher than the GST revenues year-on-year. On a single day, the highest tax of ₹68,228 crore was collected through 9.8 lakh transactions on April 20, 2023.

Breakdown of GST Revenue Collection

The GST revenue collected in April includes ₹38,440 crore CGST, ₹47,412 crore SGST, ₹89,158 crore IGST (including ₹34,972 crore collected on import of goods), and ₹12,025 crore cess (including ₹901 crore collected on import of goods).

Settlement of GST Revenue

The government has settled ₹45,864 crore to CGST and ₹37,959 crore to SGST from IGST. After the regular settlement, the total revenue of the Centre and the States in April 2023 is ₹84,304 crore for CGST and ₹85,371 crore for SGST.

Comparison with Previous Year

According to a release by the Finance Ministry, the revenues for April 2023 are 12 per cent higher than the GST revenues in the same month last year. Domestic transactions, including import of services, have contributed to 16 per cent higher revenues compared to the same month last year.

Record-Breaking E-Way Bills

For the first time, the gross GST collection has crossed the ₹1.75 lakh crore mark. In the month of March 2023, 9.0 crore e-way bills were generated, which is 11 per cent higher than the 8.1 crore e-way bills generated in February 2023.

Conclusion

The highest-ever GST revenue collection in April 2023 is a significant achievement for the Indian economy, especially during these challenging times. The increase in GST revenues despite lower tax rates is a testament to the effectiveness of GST in promoting compliance and integration. The government’s efforts to improve tax collection and revenue management have been fruitful, and this milestone sets a positive tone for the country’s economic growth.