The threat to GST revenue from transitional credit claims

The trend of revenue inflows under the goods and services tax (GST) regime remains unimpressive and erratic. Data shows revenue collection for the month of February stood at Rs85,174 crore, a marginal dip from the previous month ( see chart ). Following the reduction of GST rates on numerous goods and services in January, and February being a shorter month, tax experts were expecting this. They fo…