GST collections nosedive 70% in April- Enterprise Information

The federal government might not have declared the month-to-month GST assortment figures for April, however information launched by the Comptroller Normal of Accounts means that GST collections dropped sharply by 70 per cent in April.

Date launched by the Comptroller Normal of Accounts (CGA) for April 2020 exhibits that the Centre’s share of GST assortment throughout the month was a paltry Rs 16,707 crore in comparison with Rs Rs 55,329 crore within the earlier yr, a drop of 70 per cent.

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Normally, the GST numbers introduced by the federal government comprise collections by each the Centre and states. Nonetheless, CGA’s information solely exhibits the Centre’s share of the GST assortment.

The whole GST assortment – state and centre included – in April 2019 was Rs 113,865 crore. Extrapolating from the Centre’s GST numbers (Rs 16,707 crore) for April, the entire GST assortment – Centre and State – could possibly be round Rs 34,300 crore.

The sharp drop within the GST assortment in April 2020 may partly be due to lockdown as a result of coronavirus outbreak.

Nonetheless, it’s to be famous that April GST collections are for March transactions, and the lockdown began solely from March 25.

Due to this fact, the poor assortment in April could possibly be largely as a result of extension of return submitting dates.

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The federal government on March 24 had introduced a number of measures to ease the compliance burden on taxpayers given the coronavirus outbreak.

As per the bulletins, for registered GST taxpayers with combination annual turnover lower than Rs 5 crore, the final date for submitting GSTR-3B due in March, April and Could 2020 has been prolonged by the final week of June, 2020.

For such taxpayers, no curiosity, late price, and penalty have been to be charged.

For these whose turnover is Rs 5 crore or extra, may file returns due in March, April and Could 2020 by final week of June 2020, however on the similar would entice lowered price of curiosity at 9  per cent every year from due date (present rate of interest is 18  per cent every year).

No late price and penalty to be charged, if complied earlier than until June 30, 2020.

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