India’s fiscal metrics showed early signs of stress with April gross tax collections almost halving from its level a year ago due to the coronavirus induced lockdown with economists projecting that fiscal deficit in FY21 may cross the level of 6.4% in FY10 in the aftermath of the global financial crisis.
Data released by the CGA on Friday showed government’s gross tax collections in April slipped to ₹67,557 crore from ₹1.2 trillion during the same month a year ago as income tax collections ( ₹26,978 crore), central Goods and services tax collections ( ₹5934 crore), customs collections ( ₹3934 crore) fell by 58%, 87% and 70% respectively from their levels a year ago.