The Goods and Services Tax (GST) has completed two years and the Central and State tax departments have jointly celebrated the second anniversary on July 1 all over India.
During the first quarter of the year, GST collection has been on an average above Rs 1.04 lakh crore per month as against an average collection of Rs 98,114 crore per month during 2018-19, registering a growth rate of 6.32 per cent.
The GST Council had reduced tax rates in many goods and services before the general elections. In the 28 per cent category of goods only, out of 228, the Council reduced tax rates of 179 goods to 18 per cent or 12 per cent.
The tax rates had been fixed taking into account incidence of taxes in pre-GST regime and considering revenue neutrality. The growth rate of 6.32 per cent despite rate cuts is encouraging.