Buoyant GST collections in FY24 may give Centre room to raise target for FY25 in full Budget
With the mop up from the goods and services tax (GST) expected to have exceeded the Revised Estimate for FY24, the government may look at hiking the targets presented in the interim Budget for FY25 at the time of the full Budget in July. While there is no official word and a decision on this will be taken closer to the exercise, experts note that this is most likely given the record collections.
According to official data released by the finance ministry on April 1, gross GST collections in FY24 exceeded Rs 20 lakh crore and came in at Rs 20.18 lakh crore, while on a net basis it was Rs 18.1 lakh crore. Central GST collections amounted to Rs 8.63 lakh crore as against the revised estimate of Rs 8.11 lakh crore.
The Centre had retained the Budget estimate for GST collections for FY24 as the Revised estimate including the GST compensation cess at Rs 1.45 lakh crore. The overall target from GST was pegged at Rs 9.56 lakh crore for last fiscal.
