Oct GST receipts up 4.6% on year at ₹1.96 lakh crore

Gross collections higher than in both August, September

- KULDEEP SINGH

THE GROSS GOODS and services tax (GST) collections came in at ₹1.96 lakh crore in October, (September transactions), recording a year-on-year growth of 4.6%, as per official data released on Saturday.

An annual growth in gross receipts of the indirect tax was achieved despite massive cuts in tax rates for around 380 items, including automobiles and consumer durables, effected in September-end.

The October collections were in absolute terms higher than in both September and August (₹1.89 lakh crore and ₹1.86 lakh crore, respectively) and at the same level as July.

The annual growth in gross receipts in October is the lowest since June 2021 (2%), in peak Covid period. This decline in collections was largely expected due to the inevitable temporary effect of rate rationalisation and deferred consumer spending of high-value goods ahead of the festive season, partly in anticipation of the rate cuts.