AP Records 10% GST Growth in March

Vijayawada: Andhra Pradesh has registered a 10 per cent growth in net Goods and Services Tax (GST) collections in March 2026.

“This reflects fiscal resilience despite rate cuts and structural challenges under GST 2.0 reforms,” chief commissioner state taxes, Babu A stated on Wednesday.

He said Andhra Pradesh outperformed several southern states with a 5.71 per cent annual GST growth, surpassing Karnataka, Telangana, Tamil Nadu, and Kerala.

Net GST collections for March stood at ₹3,316 crore — the highest ever for the month since GST was introduced — marking a 9.97 per cent rise over the ₹3,015 crore in March 2025. Gross GST collections (excluding cess) were ₹3,773 crore.

For the financial year 2025–26, the state posted an overall GST growth of 6 per cent, indicating “sustained economic activity and improved compliance.”

Total collections across sectors reached ₹4,889 crore in March, up 4.24 per cent from ₹4,690 crore last year, while cumulative collections rose to ₹53,744 crore, a 4.73 per cent increase.

Among key components, SGST collections grew by 1.17 per cent to ₹1,416 crore, while IGST settlements rose 5.65 per cent to ₹1,707 crore. Professional tax collections increased sharply by 10.63 per cent, though petroleum VAT declined by 6.29 per cent.

Despite revenue pressures from tax rate rationalisation — estimated to cause significant losses — the commercial taxes department sustained growth through technology-driven administration, AI-based analytics, and stricter enforcement, it was claimed.

Babu stated, “Measures such as Aadhaar-based authentication, UPI analytics to identify over 20,000 unregistered entities, and targeted action in sectors like construction, mining, scrap, and restaurants improved compliance. Focus on IGST input tax credit reversals and recovery from defaulters also boosted revenues.”

The department plans to intensify AI-led monitoring and anti-evasion drives in 2026–27 to further strengthen revenues,” Babu said in a statement.