Comments
Grappling with the Covid-19 pandemic and equally hurting its GST collection, Karnataka sees 10.13 per cent higher GST collection in September at ₹3,478.69 crore as compared with August collection of ₹3,158.68 crore, now expects festive season and e-commerce (online) sales to help improve its revenues.
“We are likely to see a fair collection as we go forward from this month. In addition to festivals, a series of e-commerce sales which are scheduled is likely to get more revenues to the State,” BT Manohar, member-Karnataka State GST Advisory Council, told BusinessLine .
“Relaxation of lockdown is taking place leading to raw material availability helping good industrial output. This is likely to help the trade and industry to achieve its manufacturing potential,” he added.
The lockdown relaxations and proposed return filing reforms for small taxpayers is likely to see better compliance and tax collection. The State’s Jult collection was recorded at ₹4,857.89 crore and June collection stood at ₹7,452.39 crore.
But, it was in April and May this year that lead to nil or curtailed business activities and the State faced severe shortfall or sharp drop in GST collection at ₹2,376.61 crore and ₹2,012.11 crore respectively.
Release cess amount
Representing Karnataka at the GST Council meet on Monday, State Home Minister Basavaraj Bommai urged the Centre to immediately release the cess amount that has been collected up to September, 2020.
At the GST Council meet, Union Finance minister Nirmala Sitharaman yielded to the States’ request to release GST compensation totalling ₹20,000 crore.
Accordingly, Karnataka gets ₹1,776 crore while the total dues for April-July stood at ₹13,800 crore.
Bommai requested the Centre that the compensation cess collected up to 2020 is to the tune of ₹25,000 crore be released as the State is in financial distress.
The Minister welcomed the suggestion of the Union government that the cess collection would be extended beyond 2022 so that the entire compensation entitlement of the State could be given to them, including the interest burden which was the suggestion of Karnataka in the previous meeting.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.