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Continuing their trend for the eighth straight month, the Goods and Services Tax (GST) collections remained above Rs 1 lakh crore mark for the month in May, indicating that the impact of the devastating second wave of Covid infections on the economy may have been limited. Tax collections on sale of goods and rendering of services in May at Rs 1.02 lakh crore were 27 per cent lower than April 2021, but 65 per cent higher than May 2020 when the nation was under complete lockdown, impacting economic activity.

The finance ministry said the gross GST revenue collected in the month of May 2021 is Rs 1,02,709 crore of which CGST is Rs 17,592 crore, SGST is Rs 22,653, IGST is Rs 53,199 crore (including Rs 26,002 crore collected on import of goods) and Cess is Rs 9,265 crore (including Rs 868 crore collected on import of goods). The above figure includes GST collection from domestic transactions till June 4 since taxpayers were given various relief measures in the form of waiver/reduction in interest on delayed return filing for 15 days for filing of returns in May on account of second wave of the Covid pandemic.

During May 2021, revenues from import of goods were 56 per cent higher, and the revenues from domestic transactions (including import of services) are 69 per cent higher than that of May 2020. The ministry said the collection figure crossed Rs 1 lakh crore despite the fact that most of the states have been under strict lockdown due to the pandemic. In addition, while the taxpayers with turnover above Rs 5 crore had to file their returns by June 4, which they would have otherwise filed by May 20, smaller taxpayers with turnover less than Rs 5 crore still have time till first week of July to file the returns without any late fee and interest, and the revenue from these taxpayers is deferred till then. The ministry noted ‘The actual revenues for the month of May 2021 thus would be higher and would be known when all the extended dates expire’.