GST Collection in May 2024: The 10% growth has been recorded on the back of a strong increase in domestic transactions (up 15.3 per cent) and slowing of imports (down 4.3 per cent)
Gross GST collection in May 2024 recorded a 10 per cent year-on-year rise to Rs 1.73 lakh crore, according to the latest official data released on Saturday. The growth has been recorded on the back of a strong increase in domestic transactions (up 15.3 per cent) and a slowing of imports (down 4.3 per cent).
After accounting for refunds, the net GST revenue for May 2024 stands at Rs 1.44 lakh crore, reflecting a growth of 6.9 per cent compared to the same period last year.
“The gross Goods and Services Tax (GST) revenue for the month of May 2024 stood at Rs 1.73 lakh crore. This represents a 10 per cent year-on-year growth, driven by a strong increase in domestic transactions (up 15.3 per cent) and slowing of imports (down 4.3 per cent),” the finance ministry said in a statement.
The gross GST collections in the FY 2024-25 till May 2024 stood at Rs 3.83 lakh crore. This represents an impressive 11.3 per cent year-on-year growth, driven by a strong increase in domestic transactions (up 14.2 per cent) and marginal increase in imports (up 1.4 per cent). After accounting for refunds, the net GST revenue in the FY 2024-25 till May 2024 stands at Rs 3.36 lakh crore, reflecting a growth of 11.6 per cent compared to the same period last year.
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Saurabh Agarwal, tax partner at EY, said, “A rise in GST collections from Jammu & Kashmir, Manipur, Puducherry, and Arunachal Pradesh suggests growing consumption in these developing regions, indicating broader economic progress. Additionally, increased GST in northern states like Delhi, Uttar Pradesh, etc., might be due to election spending and a surge in purchases of fans, coolers, and ACs caused by the higher temperatures compared to last year.”
However, a decline from last month’s collections could be due to year-end tax payments in May and potentially stagnant auto sales. The combination of summer heatwaves and lower auto sales might lead to flat or lower GST collections in June 2024 compared to April’s peak, he added.
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Breakdown of March 2024 Collections
- Central Goods and Services Tax (CGST): Rs 32,409 crore;
- State Goods and Services Tax (SGST): Rs 40,265 crore;
- Integrated Goods and Services Tax (IGST): Rs 87,781 crore, including Rs 39,879 crore collected on imported goods;
- Cess: Rs 12,284 crore, including Rs 1,076 crore collected on imported goods.
In May 2024, the central government settled Rs 38,519 crore to CGST and Rs 32,733 crore to SGST from the net IGST collected of Rs 67,204 crore. This translates to a total revenue of Rs 70,928 crore for CGST and Rs 72,999 crore for SGST in May 2024, after regular settlement.
Similarly, in the FY 2024-25 till May 2024 the central government settled Rs 88,827 crore to CGST and Rs 74,333 crore to SGST from the net IGST collected of Rs 154,671 crore. This translates to a total revenue of Rs 1,65,081 crore for CGST and Rs 1,68,137 crore for SGST in FY 2024-25 till May 2024 after regular settlement.
