GST collections surge in November 2021

Gross Goods and Services Tax (GST) collections hit ₹1,31,526 crore in November, the second highest since the GST was implemented in July 2017 and the second month in a row that collections have crossed ₹1.3 lakh crore.

The revenues for November were 25% higher than that in the corresponding month last year and 27% over the pre-pandemic levels of 2019-20.

Economists, however, said the November collections, reflecting transactions undertaken in October, were underwhelming in the context of the record generation of e-way bills in October.

Tax collections from import of goods were 43% higher, while revenues from domestic transactions, including import of services, were 20% higher than the respective collections in November 2020.

The Union Finance Ministry also revised downwards GST collections for the first three months of 2021-22, starting with the record revenues of April that were originally reported as ₹1,41,384 crore. Those collections have now been pared by ₹1,676 crore to ₹1,39,708 crore.

Emphasising that November’s GST kitty was second only to the collections this April, the Ministry sought to differentiate the significance of the former by stressing that April’s collections related to year-end revenues.