Additional Chief Secretary (Finance) L.K. Atheeq has clarified to businessman T.V. Mohandas Pai that Karnataka GST collection is not slowing down. This comes in the backdrop of the Mr. Pai expressing concern over the apparent slowdown in the growth rate of GST in Karnataka, which was 9% for the month of April.
In a recent statement made by the Ministry of Finance, it was announced that the Goods and Services Tax (GST) revenue collection for April 2024 had reached an unprecedented high, soaring to ₹2.10 lakh crore. The GST collections breached the landmark figure of ₹2 lakh crore for the first time. The data revealed a 12.4% year-on-year growth in gross revenue, with net revenue (after refunds) standing impressively at ₹1.92 lakh crore, showcasing a notable 17.1% year-on-year growth.
In a tweet, directed at Chief Minister Siddaramaiah and others, Mr. Pai had highlighted the “worrisome trend” in Karnataka, citing April figures, and called for a review by the Karnataka government.
Mr. Atheeq contested Mr. Pai, saying that the figures cited by him pertained solely to April 2024 compared to April 2023. He cited data, presenting a comparative analysis of Karnataka’s GST collection growth rate in the fiscal year 2023-24.
According to him, Karnataka witnessed an 18% growth rate in GST collection, outperforming the national average of 12%. He also juxtaposed Karnataka’s growth with other States such as Maharashtra and Gujarat, both recording growth rates of 18% and 10% respectively.
Mr. Atheeq stated that when viewed in the context of the preceding fiscal year, the growth rates appear lower for all States owing to the exceptionally high growth witnessed during the COVID-affected year of 2021-22.
