Healthy consumption: GST collections surge to Rs 2 lakh crore, car sales jump 36%
India's economic indicators showed resilience and growth in August. Goods and services tax collections rose 14.8 percent to ₹2 lakh crore. Bulk car sales surged 36 percent, and UPI transactions reached a new record. Power consumption increased 12.9 percent, signaling economic momentum. These figures reflect healthy consumption and improving compliance across the nation.
New Delhi: India's total GST collections reached ₹2 lakh crore in August, marking a 14.8% increase year-on-year, according to recent economic data. Meanwhile, sales of cars surged by 36% to 448,000 units, signaling robust consumer demand. The Unified Payments Interface processed a record 24.51 billion transactions worth ₹29.82 lakh crore in the same period, with transaction volume up 22% and transaction value rising 20%. Power consumption climbed 12.9% year-on-year to 169 billion units.
Petrol sales rose 7.9% and diesel sales increased by 6.5% in August, driven by greater mobility, heightened vehicle sales, and a buoyant economy. Aviation turbine fuel (ATF) sales grew by 1.4%, while cooking gas sales saw a decline of 16.1%. GST collections from imports accelerated by 29% to Rs 62,604 crore, while domestic revenue from the levy rose 9.3% to over Rs 1.37 lakh crore in August, driven by strong domestic demand for durable goods.
Abhishek Jain, a KPMG partner and national head of indirect tax in India, noted that the robust GST growth, coupled with a 7.8% GDP expansion in the April-June quarter, underscores the resilience of the Indian economy despite global uncertainties and geopolitical tensions. MS Mani, a Deloitte India tax partner, emphasized that these collections, which encompass both goods and services across the nation, serve as a reliable indicator of economic activity and consumption levels.
Experts remain optimistic that GST collections will continue to rise in the coming months, particularly as the festive season approaches and consumer spending typically increases.
Written by urgent.news from The Economic Times - Economy's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
