New Delhi: The Union government announced that the revenue collected under Goods and Services Tax (GST) has reached a record level of Rs 1.24 trillion. There is an increase of a substantial 27% as compared to March last year. The GST collections of more than Rs 1 trillion consistently for the previous six months indicates that the economy is coming back on track.
World Bank, International Monetary Fund and other financial institutions had inferred that the Indian economy was poised for a giant leap, leaving the Coronavirus crisis behind. The economists at the World Bank had recently said that the Indian economy would grow at a rate between 7.5% to 11.5%. This report was received from the finance ministry that the GST collections have been a record Rs 1.24 trillion.
The GST collections for March stands at Rs 1,239.02 billion. The CGST component stands at Rs 229.73 billion, and the SGST component stands at Rs 293.29 billion. The IGST component is Rs 628.42 billion, and taxes on imports stand at Rs 310.97 billion. Also, the revenue of Rs 87.57 billion has been collected from the cess levied on it.
The finance ministry said that close monitoring of fake bills, detailed analysis of the data received from GST and other sources and management of the tax systems by the IT systems of the income tax and customs departments were the significant contributors to the growth in GST collections. The GST collected this March is 27% higher compared to the last year. Confidence is being expressed that this will increase further in the coming times. Simultaneously, the industry’s luminaries said that the record increase in GST collections indicates that the economy is returning on track.
While the World Bank and International Monetary Fund were assuring a solid performance of the Indian economy, a record increase in the Foreign Portfolio Investments was also reported. It is said that the country has received an FPI of nearly Rs 2.6 trillion in the financial year 2010-21.
Therefore, it is clear that the foreign investors also are expressing confidence in the Indian economy. Economists are expressing confidence that this is only the beginning, and the Indian economy will receive substantial foreign investments in the coming times.