AP Records Highest-Ever January GST Collections, Outpaces National Growth
GST revenue rises 6.72% despite rate cuts, outpacing national average
Vijayawada: Andhra Pradesh has recorded its highest-ever January Goods and Services Tax (GST) collections since the tax regime was rolled out in 2017. This underlines the state’s resilient revenue architecture even amid the sweeping rate reductions.
Net GST collections for January 2026 rose 6.72 per cent year-on-year to Rs 3,073 crore, reflecting sustained economic activity and sharper compliance mechanisms.
The robust performance comes despite GST rate cuts on a wide range of products, including consumer essentials and durables, pharmaceuticals, automobiles and cement.
GST was also withdrawn on life and medical insurance, while the Compensation Cess was removed on most products—barring tobacco—effective Sept 22, 2025, as part of the GST 2.0 reforms.
The state’s growth outpaced the national average of 5.80 per cent (excluding imports).
Among southern states, Andhra Pradesh ranked second only to Karnataka, surpassing Kerala, Tamil Nadu and Telangana—an outcome that underscores stronger compliance and revenue mobilisation.
January marked the tenth consecutive month (April–January 2026) in which net GST collections exceeded last year’s levels, pointing to consistent momentum in consumption, trade and tax compliance.
Officials attributed the gains to enhanced compliance strategies, including the extensive deployment of AI-based data analytics, targeted audits and swift identification of ineligible IGST input tax credit claims. These initiatives alone yielded over Rs 144 crore in additional collections, while improved IGST settlements further boosted inflows.
Overall collections across sectors in January stood at Rs 4,704 crore, a 7 per cent increase over January 2025. Cumulative collections up to January 2026 reached Rs 44,221 crore, marking a 4.79 per cent rise year-on-year.
Despite a modest base and the absence of rate-led windfalls, the state has delivered steady, non-volatile growth—contrasting with sharp swings seen elsewhere.
The performance highlights a resilient revenue system, efficient tax administration and an expanding tax base, positioning AP favourably at both the regional and national levels in GST mobilisation.
Infograph:
* Key Revenue Highlights (January 2026)
- Net GST collections: Rs 3,073 crore (up 6.72% YoY)
- Gross GST collections: Rs 3,479 crore
- SGST collections: Rs 1,284 crore (up 8.37% YoY)
- IGST settlement: Rs 1,789 crore (up 5.57% YoY)
- Petroleum VAT: Rs 1,490 crore (up 7.09% YoY)
- Professional tax: Rs 38 crore (up 25.60% YoY)
