Central GST collection fell by 87% in April as lockdown hurts economy

The government gathered Rs five,934 crore as its part of the merchandise and services tax (GST) in April this money yr, fetching 87 per cent lessen than Rs 46848 crore in the exact same thirty day period of the former yr.

The data pertains to economic routines in March. The dip in earnings collections is staying attributed to the nation staying place below lockdown to contain the coronavirus from March 24 and return submitting staying deferred that thirty day period and then for April to June.

From the data, it is not achievable to deduce in general GST collections since point out GST (SGST) is commonly bigger than the Centre’s. For instance, the CGST stood at Rs 19,183 crore and SGST at Rs twenty five,601 crore in March.

Then, there is an situation of integrated GST (IGST) as it is not clear as to how a great deal of it is allotted to the states. IGST stood at Rs 9749 crore in April. It was, however, a great deal bigger than minus Rs 564 crore in April of the former yr. The minus determine contains extra allocations in the thirty day period to the states than gathered by the Centre.

The government experienced earlier declared that the registered GST taxpayers with aggregated yearly turnover much less than Rs five crore can file GSTR-3B (summary enter-output returns) owing in March, April, and Might 2020 by the previous 7 days of June 2020. For such taxpayers, no curiosity, late charge, and penalty have been to be billed.

Those with an yearly turnover of at least Rs five crore or extra could file returns owing in March, April, and Might 2020 by previous 7 days of June 2020 but the exact same would bring in a minimized rate of curiosity at 9 per cent per annum from the owing day. The existing curiosity rate is eighteen per cent per annum. No late charge and penalty will be billed, if submitted until June thirty this yr.