01-Aug-2023
2 mins read
The Goods and Services Tax (GST) collections for July 2023 have been announced, recording an impressive 11% on-year growth. The data indicate a robust economic recovery, reflecting an upward trend in domestic transactions. Here’s a detailed look into the numbers.
Record Collections
The GST revenues for July reached over Rs 1.65 lakh crore, the fifth instance of surpassing the Rs 1.6 lakh crore threshold since GST’s introduction. This milestone underscores a robust economic recovery and signals growth within the business sector.
Breakdown of July’s GST Collection
| Component | Amount (in Crore) |
| CGST | Rs 29,773 |
| SGST | Rs 37,623 |
| IGST | Rs 85,930 |
| Cess | Rs 11,779 |
| Import of Goods | Rs 41,239 (included in IGST) |
Detailed Distribution
Out of the total GST collection in July, the various components were distributed as follows:
- CGST: Rs 29,773 crore
- SGST: Rs 37,623 crore
- IGST: Rs 85,930 crore (including Rs 41,239 crore collected on import of goods)
- Cess: Rs 11,779 crore (including Rs 840 crore collected on import of goods)
The government settled Rs 39,785 crore to CGST and Rs 33,188 crore to SGST from IGST, resulting in total revenue of Rs 69,558 crore for CGST and Rs 70,811 crore for SGST.
Comparison with Previous Months
The July revenue saw an 11% increase compared to the same month the previous year, with domestic transactions experiencing a 15% growth. Despite a minor decline from April’s record-high GST collection of Rs 1.87 lakh crore, these figures demonstrate a continued positive trend in the economy.
Upcoming Developments
The GST Council, led by Finance Minister Nirmala Sitharaman, is scheduled to meet on August 2 to discuss several important issues. Among them, clarifications on the levy of taxes on online gaming, including the definitions pertaining to games of skill or chance, will be keenly anticipated.
Conclusion
July’s GST collections are a promising sign of economic resilience and recovery. The diverse allocations and increasing domestic transactions point to a stabilising economy. The upcoming GST Council meeting is expected to bring more clarity to certain sectors, promoting further growth and compliance.