Odisha records highest ever GST in April despite Covid induced slowdown
Despite the economic slowdown due to Covid-19 pandemic, Odisha recorded the highest ever GST collection of ₹3,849.48 crore in April this year as against ₹2,955.60 crore collected during April 2019 and ₹774.29 crore collected during April 2020.
Odisha also collected its highest ever SGST (State GST) of ₹1126.67 crore as against ₹927.60 crore in April 2019 and Rs. 360.36 crore in April 2020.
The sharp rise in GST collection during April this year is a result of better compliance, increased collection from iron and steel sector as well as collection from matured GST demand made by tax officers after return scrutiny, said commissioner of commercial tax, SK Lohani.
“The Commercial Tax and GST organization of the Odisha government has been focusing on increasing the tax-base of GST with regular survey and registration,” he said.
In 2020-21, Odisha had recorded a growth of nearly 20% in overall revenue collection over the previous year. Total revenue collection from various own tax and non-tax sectors during 2020-21 financial year is estimated at ₹56, 363 crore against ₹46,970 crore collected in 2019-20 financial year.
The increased collection of GST is important for Odisha in a pandemic year as the state is looking at more expenditure on health than was budgeted for 2021-22 due to the second wave of Covid-19. With daily cases likely to touch around 15,000 by May second week, the state government estimates it may have to spend far more than the ₹9,164 crore it had budgeted.
Last month, Odisha chief secretary fixed a target of ₹40,000 crore as tax collection from own sectors like stamp duty and registration fees, sales tax, state GST and excise duty apart from another ₹21,500 crore from non-tax sectors like mining, water tax and forest tax for the 2021-22 financial year.