India's August GST collections grow 10% YoY to ₹1.75 trillion
India's Goods and Services Tax (GST) collections reached ₹1.75 lakh crore in August 2024, reflecting a slight decrease compared to ₹1.82 lakh crore collected in July. Despite the slight dip month-on-month, this figure still represents a 10% increase year-on-year compared to August 2023's collection of ₹1.59 lakh crore.
Year-to-date GST collections show steady growth
The cumulative GST collections for the first five months of 2024 have also seen a rise, with an increase of 10.1% to ₹9.14 lakh crore. This figure includes both domestic and import revenue, which grew by 9.2% and 12.1%, respectively, in August. After adjusting for refunds, net domestic revenues were slightly higher at ₹1.11 lakh crore, marking a modest growth of 4.9%.
IGST revenues and net GST revenue increase
In contrast to domestic revenues, Integrated Goods and Services Tax (IGST) revenues saw a more significant increase of 11.2%. Net domestic revenues increased by 14.4% last month, reaching ₹1.66 lakh crore. The net GST revenue for the month stood at ₹1.5 lakh crore, marking a 6.5% rise compared to last year's figures. This growth was observed despite the total refund amount being ₹24,460 crore in August, with domestic refunds accounting for 58% of this figure.
Cumulative net GST revenue till August shows annual improvement
The cumulative net GST revenue until August was ₹8.07 lakh crore, marking a 10.2% increase from last year. This figure indicates a consistent upward trend in India's GST collections on an annual basis, despite slight dip in August compared to July. The GST council could convene on September 9 to discuss GST rates on life insurance, per Moneycontrol. The government aims to reduce taxes on basic life insurance, currently subject to an 18% GST, while keeping investment-linked insurance rates unchanged.
