November GST Collection At Rs 1.7 Lakh Crore, Lowest Since February 2024
The net GST collections in November saw an uptick of 1.3%, as refunds declined.
India's gross goods and services tax (GST) collections came in at Rs 1.7 lakh crore in November, marking the lowest monthly mop-up since February 2024.
On a year-on-year basis, the collection has dipped by 0.7%, showed the official data released on Monday. The moderation reflects the effect of rate rationalisation, with taxes on most items of consumption being brought down.
The net GST collections in November, however, were up by a modest 1.3% year-on-year to Rs 1.5 lakh crore. In the year-ago period, the net GST collections stood at Rs 1.52 lakh crore.
This uptick was contributed by a decline in refunds availed by the taxpayers in November. The refunds issued during the month amounted to Rs 18,954 crore, down 4% as compared to the year-ago period.
Notably, India implemented the biggest GST reform in September, by slashing the tax slabs from four to two. The slabs of 12% and 28% eliminated, and most taxable items were brought in the 5% and 18% slabs. An additional slab of 40% has been created for a select "sin" or luxury goods.
The GST 2.0 was rolled out on Sept. 22, ahead of the festive season. However, October tax collections were up 4.6% to Rs 1.95 lakh crore, owing to the higher consumption in the period around Diwali.
Also, the full effect of GST rationalisation across most sectors was felt in November, which could have contributed to the moderation in collections as compared to October, analysts say.
(This is a developing story)
