GST Share to States: ₹6.42 Lakh Crore Till November
The Centre distributed a whopping ₹6.42 lakh crore to states and Union Territories (UTs) from GST collections by November 2024. This amount includes State Goods and Services Tax (SGST), Integrated Goods and Services Tax (IGST), and compensation cess. Let’s break down the numbers and understand the trends shaping GST collections this fiscal year.
GST Collections Breakdown
The gross GST collected by the Centre till November 2024 stood at ₹14.56 lakh crore. Here’s the detailed split:
| Category | Amount (₹ Crore) |
|---|---|
| Domestic GST Collections | ₹11.04 lakh crore |
| GST from Imports | ₹3.51 lakh crore |
| Total Gross GST | ₹14.56 lakh crore |
Comparative Growth: FY22 vs FY24
- FY22 Gross GST: ₹14.83 lakh crore (full fiscal year)
- FY24 Gross GST: ₹20.18 lakh crore (expected full year)
Distribution of GST Share to States
By November 2024, ₹6.42 lakh crore has been distributed to states, a significant increase compared to the total ₹8.74 lakh crore distributed in FY24.
Components of GST Distributed:
- SGST – Share of GST from intra-state supply
- IGST – Apportioned share of GST from inter-state supply
- Compensation Cess – For revenue loss post-GST implementation
Understanding IGST Apportionment
IGST collected from inter-state transactions is split between the Centre and states based on consumption. The Centre and states share IGST in a 50:50 ratio after provisional settlements.
Additionally, 42% of the Centre’s retained GST is devolved to states per the Finance Commission’s recommendations.
Impact of GST Share to States
Increased GST distribution helps states fund development, infrastructure, and welfare programs. Efficient allocation and timely compensation ensure fiscal stability for state governments.