SBI report says April GST collection may be in range of Rs 1.15-1.20 lakh crore

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A study by State Bank of India has revealed that despite partial lockdowns and restrictions on mobility in April, GST (Goods and Services Tax) collections in the month is expected to be in the range of Rs 1.15- 1.20 lakh crore.

GST collection is an important indicator of the economic activity in the country.

The report estimated GST collections at Rs 1.20 lakh crore, that is almost at par with the collection figure of March 2021. In March, the collection was Rs 1.24 lakh crore.

This April, there were some degree of restrictions in almost all states, except West Bengal and Himachal Pradesh.

The report also added that the all India GST E-way bills would cross 5.5 crore comfortably in April.

With the April figure, GST revenue collection will cross the Rs 1 lakh crore-mark for for the seventh month in a row, indicating rapid economic recovery post-lockdown measures, the report noted.

Also closer monitoring against fake-billing, deep data analytics using data from multiple sources including GST, IT and Customs IT systems and effective tax administration also contributed to the steady increase in tax revenue, observed the report.

Growth in MGNREGA

The rural job guarantee scheme MGNERGA also witnessed a growth of over 92% in April 2021 over the same period last year.

“The demand for households under MGNREGA increased by more than 92% to 2.57 crore households in April 2021, highest in any April since 2013, as compared with 1.34 crore in Apr’20,” said the SBI report.

The report stated that the growth in MGNREGA indicated the extent of reverse migration of workers to their native states from Maharashtra, Gujarat and Uttar Pradesh.