A parliamentary panel on finance on Tuesday observed that GST collection has slowed down in recent months and asked government to prevent misuse of input tax credit.
Two years after its launch, the government has begun the review of GST, including a possible resetting of rates along with the slabs, the Standing Committee on Finance, headed by Jayant Sinha, said in its report tabled in the Parliament.
“In this connection, the committee is constrained to observe that GST collections have somewhat slowed down in recent months compared with the target. The committee would, therefore, expect the government to resolve all the troubling issues related to GST at the earliest to achieve the desired revenue buoyancy,” the panel said.
GST revenue collection crossed the Rs. 1 lakh crore mark after a gap of three months in November, with the revenue growing 6% to Rs. 1.03 lakh crore in the month. The collection stood at Rs. 95,380 crore in October.
“The committee would also urge the Department of Revenue to remain vigilant in order to prevent misuse of provisions such as input tax credit and enhance monitoring of overall compliance,” the committee said.
