GST revenue slips below Rs.1 lakh crore in June

New Delhi: GST collection slipped below Rs 1 lakh crore in June for the first time in eight months as the second wave of the Covid pandemic and the resultant lockdowns hit businesses and the economy.

At Rs 92,849 crore, the Goods and Services Tax (GST) collection is the lowest in 10 months since August 2020, when it was Rs 86,449 crore, official numbers released Tuesday showed.

The GST collections in June 2021 are primarily for supplies made in May - a month when most states were under different levels of lockdown, reducing business activity.

With significant relaxations in lockdown and business supplies picking up, the collections should see a definite uptick in the coming months, experts said.

The gross GST revenue collected in the month of June 2021 is Rs 92,849 crore, of



which Central GST is Rs 16,424 crore, State GST is Rs 20,397, Integrated GST is Rs 49,079 crore (including Rs 25,762 crore collected on import of goods) and Cess is Rs 6,949 crore (including Rs  809 crore collected on import of goods), the finance ministry said.

The mop-up in June 2021 is 2 per cent higher than Rs 90,917 crore collected in June 2020.

GST collection had remained above the Rs 1 lakh crore mark for eight months in a row and was Rs 1.02 lakh crore in May. However, the collection in June 2021 dropped below Rs 1 lakh crore.

“The GST collection for June 2021 is related to the business transactions made during May 2021. During May 2021, most of the states/UTs were under either complete or partial lockdown due to Covid,” the ministry added.