Gstcollections rebound innov,exceed~1lcrore

Three-month cycle of slump broken as demand seen reviving

NEW DELHI: Collections from the Goods and Services Tax (GST) rebounded above the ₹1 lakh crore benchmark in November, government officials said on Sunday, attributing an increase in voluntary compliance and a government stimulus package for an increase in receipts that had contracted for two consecutive months.

According to experts, in order to have a comfortable fiscal position, the government needs an average monthly collection of at least ₹1 lakh crore, and officials said November’s receipts – at ₹1,03,492 crore – is a sign of a recovery in the country’s economy, which logged its worst quarter of growth in six years in the three-month period ending September.

“This is the eighth time since the inception of GST in July 2017 that monthly collection has crossed the mark of ₹1 lakh crore,” a finance ministry statement said.

GST revenue, which is a tax on consumption, had slumped below ₹1 lakh crore after July, when the receipt was ₹1,02,083 crore. The revenue collection in October was ₹95,380 crore, a 5.3% decline year-on-year, but a 3.8% improvement over September. In both months, the revenue mop-up was lower compared to the same period last year.

Bihar deputy chief minister Sushil Kumar Modi said the collection for November raised hopes for a higher growth rate in the third quarter of the current financial year. “GST collection record 1,03,000 cr indicates GDP [gross domestic product] numbers will improve in 3rd Q,” he said in a tweet.

On Friday, official statistics showed GDP growth rate had

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