Telangana GST coffer goes ka-ching

Hyderabad: The Telangana Government has ushered in the New Year on a positive note hoping that the State's economy will revive and register a healthy financial growth during 2021. This hope arises from the two factors, one the Centre clearing Covishield vaccine manufactured by the Serum Institute in collaboration with Oxford. Second, the moolah from the vaccine could mop up in the form of GST collection and other state owned tax revenues it earned during December.

As per the official reports, total GST collections in Telangana in December was Rs 3,543 crore which was the highest since March 2020, which was 4 per cent high when compared to the last month of 2018. After lifting the lockdown from June in a phased manner, the state economy was slowly picking up and it was the first time that the GST collections crossed Rs 3,500 crore in a single month. The officials attributed the collections to growing manufacturing activity and the revival of the services sector.

The highest-ever revenue was also generated from the liquor sales in December. The total monthly revenues has crossed Rs 3,500 crore. The increased business activity, Christmas festivities and New Year celebrations helped in liquor sales rise. In the last one week alone, liquor valued at Rs 1,000 crore was sold in the state. Efforts made to curb the smuggling of spurious liquor from the neighbouring States and a total ban on ID ( Illicitly distilled) liquor sales contributed a lot to the increase of sales. The government targeted to sell Rs 3,000 crore liquor every month from this year.

The government's decision to resume the registration of agricultural lands through Dharani portal in November and property registrations from the old CARD system from December 20 also gave a big boost to the state economy. Till date, the state has earned Rs 700 crore through registration and it is expected that the earning from the Stamps and Registration department will be around Rs 1,500 crore every month in the New Year.

The fast growth in the automobile sales and the tax collected for vehicle registrations was also increasing every month. In November and December, the state has got nearly Rs 500 crore as vehicle registration charges and the trend will continue as Hyderabad emerged as a big sale point for two-wheelers and cars in the open market.

Hopeful 2021

♥ Highest GST collections in December Rs 3,543 crore

♥ Vaccine sales could bring in good amount of GST

♥ Liquor sales peaked in December

♥ Land registrations too added to the revenue