Question

After two consecutive months of contraction in September and October, Goods and Services Tax (GST) collections in December (for November sales) rose over the Rs. 1-lakh crore mark, a growth of 8.9 per cent year-over-year. In November too, the GST mop-up had topped Rs. 1 lakh crore, but December figures were keenly awaited since the November collections were largely attributed to higher festive sales. In December, GST collections at Rs 1,03,184 crore were marginally lower than the previous month, but rise for the second month in a row indicates improvement in revenue growth and higher compliance due to enforcement of more anti-evasion measures and a cap on input tax credit. Until December 31, as many as 81.21 lakh GSTR 3B (monthly summary returns) were filed, 4.3 per cent more than 77.83 lakh in November. Also, a cap on input tax credit at 20 per cent of the eligible credit for businesses effective October helped in higher collections. This cap, which was only for buyers whose suppliers did not upload invoices, prevented fraudulent claims and revenue leakage, said tax officials.

Goods and Services Tax (GST) came into effect from

Options

• April 1, 2017 

• July 1, 2017 

• October 1, 2017

• July 1, 2018

Answer 1

July 1, 2017

Explanation:

Goods and Services Tax (GST) came into effect from July 1, 2017 through the implementation of the One Hundred and First Amendment of the Constitution of India by the Indian government. The GST replaced existing multiple taxes levied by the central and state
governments.