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The finance ministry has said that Goods and Services Tax (GST) collection topped the Rs 1-lakh-crore mark for the second straight month in August at Rs 1.12 lakh crore, signalling accelerating economic activity. The tax collections in August on goods sold and services rendered was 30 percent higher than Rs 86,449 crore collected in August 2020, and 14 percent higher than Rs 98,202 crore collected in August 2019. Sequentially, however, there was a 3.76 per cent dip in August 2021 collection vis-a-vis Rs 1.16 lakh crore mopped up in July 2021.

The ministry has stated that of the Rs 1,12,020 crore revenues in August, Central GST was Rs 20,522 crore, State GST Rs 26,605 crore, and Integrated GST stood at Rs 56,247 crore (including Rs 26,884 crore collected on import of goods). Compensation Cess Rs 8,646 crore was collected, of which import of goods contributed Rs 646 crore. During August this year, the revenues from domestic transactions (including import of services) were 27 per cent higher than the revenues from these sources during the same month last year.

It further said the GST collection, after posting above the Rs 1-lakh-crore mark for nine months in a row, dropped below Rs 1 lakh crore in June 2021, after the second wave of COVID caused a blip. With the easing out of COVID restrictions, GST collection for July and August 2021 have again crossed Rs 1 lakh crore, which clearly indicates that the economy is recovering at a fast pace. Coupled with economic growth, anti-evasion activities, especially action against fake billers have also been contributing to the enhanced GST collections. The robust GST revenues are likely to continue in the coming months too.