GST revenues registered the second highest collection ever at Rs 1.52 lakh crore in October, reflecting pick-up in economic activity in the festive season.
The collections in October this year recorded a 16.6 per cent rise over Rs 1.30 lakh crore collected in the same month last year.
Goods and services tax (GST) collection had touched a record high of nearly Rs 1.68 lakh crore in April. In September, it was Rs 1.48 lakh crore.
Central GST collection stood at Rs 26,039 crore, state GST Rs 33,396 crore and integrated GST Rs 81,778 crore, including Rs 37,297 crore from imports. The cess collection was Rs 10,505 crore.
The total revenue of the Centre and the states after regular as well as adhoc settlements in October 2022 was Rs 74,665 crore for CGST and Rs 77,279 crore for the SGST.
GST mop-up has been over Rs 1.40 lakh crore for eight months in a row, while for two months it has crossed the Rs 1.50 lakh crore-mark.
Icra chief economist Aditi Nayar said the sharp sequential pickup in collections reflects a combination of quarter-end flows of the previous month as well as a surge in e-way bills ahead of a robust festive season.
Deloitte India partner M.S. Mani said major states have reported an impressive increase in collections indicating it is a broad-based phenomenon across the country.
PMI rises
Manufacturing activities in India remained robust and price pressures were contained in October as new orders and production rose at a slower but stronger pace, according to a monthly survey released on Tuesday.
The seasonally-adjusted S&P Global India Manufacturing Purchasing Managers’ Index was up to 55.3 in October from 55.1 in September.
The October data pointed to an improvement in operating conditions for the 16th month. In PMI parlance, a print above 50 means expansion while a score below 50 indicates contraction.
“Indian industry again showed signs of resilience in October, with factory orders and production rising strongly despite losing growth momentum,” Pollyanna De Lima, economics associate director at S&P Global Market Intelligence, said.
Manufacturers are confident of a rise in production by October 2023. Predictions of better sales and marketing efforts were among the reasons cited for upbeat projections.
“Manufacturers continued to loosen the purse strings as they expect demand buoyancy in coming months. There was a marked rise in input purchases,” Lima said.
