Centre’s net indirect tax collections in FY21 jumped 12% at ₹10.71 lakh crore
India’s net indirect tax receipts, including Goods and Services Tax (GST), jumped 12% at ₹10.71 lakh crore in 2020-21 compared to the previous financial year, which is over 8% more than the revised estimate (RE) of ₹9.89 lakh crore for FY21, as per the official data released on Tuesday.
The Centre’s net direct tax collections, mainly comprising corporate and individual income-tax, already surpassed the RE by 4.42% at ₹9.45 lakh crore in 2020-21.
Giving provisional details of indirect tax collections, a finance ministry statement said that net customs duty receipts in 2020-21 saw a 21% year-on-year growth at ₹1.32 lakh crore and net central excise and service tax (arrears) mop up in the financial year ended March 31, 2021 was ₹3.91 lakh crore, a 59% jump over ₹2.45 lakh crore collected in 2019-20.
The Union government’s net Goods and Services Tax (GST) receipts – Central GST (CGST), Integrated GST (IGST) and Compensation Cess – in 2020-21 was ₹5.48 lakh crore as compared to ₹5.99 lakh crore in the previous financial year, a fall of 8.5%. GST is one of the key indirect tax and a weathervane of consumption.
“Revised estimates of net GST collection, including CGST and Compensation Cess, for FY 2020-21 was Rs. 5.15 lakh crore. Thus, the actual net GST collections is 106% of total targeted collection,” the statement said. GST collections were severely affected in the first half of the financial year on account of Covid-19 pandemic, it added.
However, in the second half, the GST collections registered a good growth and receipts exceeded ₹1 lakh crore in each of the last six months. March this year saw an all-time high of GST collection at ₹1.24 lakh crore, it said.