GST recovery declines in Punjab due to Farmer movement and corona epidemic
The adverse effect of the lockdown and peasant movement caused by Corona is now starting to fall in every region in Punjab. Thus far this year in Punjab, GST collection has declined by 22.94 percent. From April to November this year, only Rs 6814.29 crore has been recovered, while in 2019, the Punjab government received GST collection of Rs 8842.79 crore. There has been a decline in GST collection of Rs 2028.5 crore this year as compared to last year.
So far, Punjab has lost quite Rs 50,000 crore thanks to the lockdown during the Corona epidemic and therefore the farmers’ agitation in Punjab against agricultural laws that started in September. Chief Minister Captain Amarinder Singh had also expressed concern about the economic loss to the state and revealed about the economic loss to the state.
Punjab’s GST revenue
At an equivalent time, thanks to the movement, there’s a decline in GST recovery this year. However, consistent with the knowledge received from the tax commissioner’s office, the recovery of VAT and CST in November has increased by 70.65 percent over the previous year. The entire recovery of VAT and CST has been recorded at Rs 765.25 crore this month, while the quantity for November 2019 was 448.42 crore.
12,186 crore compensation
As compensation The Punjab government has been owed Rs 12186 from April to October as compensation. In November this year also, the quantity of compensation of 1336 crores is included during this . The minister of finance of the Punjab government has held several talks at the central level about this, but thus far no concrete solution has been found regarding compensation.
55.12 crore GST reduced in November
The impact of the peasant movement has been the most important in Punjab till November. In November of this year, GST decreased by Rs 55.12 crore as compared to last year. A GST of Rs 1122.93 crore was collected in November of 2019, while a GST of Rs 1067.81 crore has been recovered in November this year.
Comparison of recovery of Punjab’s GST revenue
- Month 2019 2020
- April 1304.13 crore 156.28 crore
- May 998.13 crore 514.03 crore
- June 950.36 crore 869.66 crore
- July 1548.15 crore 1103.31 crore
- August 1014.03 crore 987.20 crore
- September 974.96 crore 1055.24 crore
- October 929.52 crore 1060.76 crore
- November 1122.93 crore 1067.81 crore
- Total 8888.21 crore 6814.29 crore