The rise in Goods and Services Tax (GST) collections in October has been on account of economic activity and not due to notices being issued by tax authorities, Central Board of Indirect Taxes and Customs (CBIC) Sanjay Kumar Agarwal said Wednesday. He also said the department will soon start sending advisories to businesses who are non-compliant in issuing e-invoices to their B2B customers.
“The growth in October GST collections was riding on economic activity and not because of notices that were sent (to online gaming companies)…notices were sent because of the time limitation which was coming to an end for the year 2017-18. So it’s not because of that. Also, the notices issued to online gaming companies are in dispute but the growth has come purely on the economic activity which has taken place in the country,” Agarwal said at the sidelines of the DPIIT-CII National Conference on Ease of Doing Business.
There was healthy growth in GST revenue from Integrated GST (IGST) on imports also as imports rose compared to earlier months, he said, citing that companies were maybe replenishing their stocks, inventories or due to the upcoming festive season.
GST revenue rose 13.4 per cent in October to Rs 1.72 lakh crore, the second-highest level since the rollout of the indirect tax regime. In April, the GST mop-up was the highest at Rs 1.87 lakh crore. The GST authorities have been issuing notices to companies for short payment of taxes for 2017-18 fiscal as the last date for sending notices for that fiscal was September 30, 2023.
Read more at : The Indian Express
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