The central government’s indirect tax collections rose by more than 12 per cent at Rs10.71 trillion during Financial Year (FY) 2020-21 compared to Rs9.54 trillion in the previous year as Goods and Services Tax (GST) collections declined by eight per cent.
Customs duty collections stood at Rs1.32 trillion during FY’21, representing around 21 per cent growth.
Collections were higher by 8.2 per cent over the revised estimates of Rs9.89 trillion, showed preliminary figures released by the finance ministry. The figures may change subject to change, pending reconciliation. Indirect tax collections comprise GST, excise duty and customs.
Customs duty collections stood at Rs1.32 trillion during FY’21, representing around 21 per cent growth over Rs1.09 trillion in the previous year.
Collections from central excise duty and service tax (arrears) were up more than 59 per cent to Rs3.91 trillion during 2020-21 against Rs2.45 trillion in FY’20.
However, mop up from GST of the Centre (Central GST+ Integrated GST+ compensation cess) were lower by eight per cent at Rs5.48 trillion during FY’21 compared to Rs5.99 trillion in the previous year.
However, GST collections were six per cent higher than the revised estimates for FY2021.
GST collections were severely affected in the first half of the financial year on account of lockdowns to contain the Covid-19 pandemic. However, in the second half, the GST collections registered a good growth and collections exceeded Rs1 trillion in each of the last six months. March saw an all-time high of GST collection at Rs1.24 trillion crore.
The finance ministry statement attributed this to several measures taken by the Centre in improving compliance in GST.
Earlier, data showed that direct tax collections declined around 10 per cent at Rs9.45 trillion in FY’21. However, the mop up exceeded the revised estimates by 4.5 per cent.
