GST returns filing: Deadline ends, figures suggest robust collections
Given that the states’ combined GST tax revenue is estimated to be roughly equal to that of the Centre, a monthly GST revenue of Rs 1.55 lakh crore would meet the projections.
As the extended deadline for filing the first tax returns under the goods and services tax (GST) ended on Friday evening, taxpayers inundated the GST Network (GSTN), the technology back end. However, no official word was available on how many of the 87 lakh businesses registered on the portal filed the returns or paid taxes before the deadline.
Although it is too early to make any estimate, the tax collections under GST seem to endorse the forecast that the new tax will boost government revenues.
When just about 20 lakh of the 87 lakh taxpayers registered on the GSTN portal filed their returns and paid taxes as on Wednesday, some Rs 50,000 crore went to the total GST kitty. The Centre’s indirect tax target for the current financial year is Rs 9.26 lakh crore, which means a monthly average collection of Rs 77,200 crore.
Given that the states’ combined GST tax revenue is estimated to be roughly equal to that of the Centre, a monthly GST revenue of Rs 1.55 lakh crore would meet the projections. This doesn’t appear to be a tall order given the collection trend.
Of course, the GST collections being cited now are gross figures, without deducting the input tax credits that businesses are expected to claim and are estimated to be substantial, given the inherent nature of the new taxation system.
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