Uttar Pradesh tops in mopping up through taxes

Uttar Pradesh leads among various States in tax mop up during April-July period of current fiscal with total collection around ₹1.5 lakh crore as against around ₹1.37 lakh crore during corresponding period of last fiscal. However, in terms of growth in tax mop up, Haryana recorded maximum growth of 18 per cent.

States’ tax revenue comprises of seven components – Goods & Services Tax (SGST), Stamps & Registration, Land Revenue, Sales Tax, State Excise Duty, State Share of Union Taxes, and other taxes & duties. Among these, SGST has maximum share. All the 10 States taken for this report, have shown collection from GST increasing despite rate rationalization and doing away with compensation. For example, according to data compiled by Comptroller & Auditor General (C&AG), Uttar Pradesh earned around ₹55000 crore through SGST during April-July period of current fiscal as against around ₹54000 crore during corresponding period of last fiscal.

Similarly, for Karnataka, revenue from GST reached around ₹35000 crore as against ₹31000 crore. For Gujarat, collection went up to over ₹29600 crore from around ₹22700 crore. Tamil Nadu mopped up over ₹27000 crore as against over ₹22000 crore. Despite rate cuts, higher registration and improved compliance among various other reasons brought more revenue for States. It may be noted that one big state, April-July, FY27 data for Maharashtra is not available.

Data from GST portal showed nearly 8 lakh new registrations by taxpayers took place. As on June 30, total number of registrations reached 1.67 crore as against 1.59 crore on December 31, 2025. Among States and UT, Uttar Pradesh tops the list with over 22 lakh registrations, followed by Maharashtra with over 20.5 lakh and Gujarat with over 14.3 lakh. During the first half period, Uttar Pradesh added more over 2.54 lakh followed by Maharashtra (over 1 lakh) and Gujarat (over 73,000).

Meanwhile, capital expenditure in States is also encouraging. Data from C&AG showed, Gujarat was ahead of various states with around ₹30000 crore of spending as against over ₹21000 crore. Gujarat was followed by Uttar Pradesh with over ₹18000 crore spending which is bit lower than last year number of over ₹18700 crore. However, Uttar Pradesh did well in receiving highest amount under the Scheme for Special Assistance to States for Capital Investment (SASCI) during the first three and a half months of the current fiscal year, according to Finance Ministry data tabled in the Lok Sabha.

Total fund earmarked for 50-year interest free loan for FY27 is ₹2 lakh crore. According to data annexed with a written response by Minister of State in the Finance Ministry, Pankaj Chaudhary during just concluded Monsoon Session of the Parliament, over ₹44,500 crore or 22.27 per cent of annual allocation has been released. Uttar Pradesh got over ₹7000 crore, followed by Madhya Pradesh and Uttarakhand. The objective of SASCI is to assist States and Union Territories in boosting capital expenditure and promoting key reforms.

In terms of fiscal deficit – the gap between expenditure and estimates , Gujarat leads the table with just 1.75 per cent of the budget estimates followed by Karnataka with 3.73 per cent. This could be because of good growth of revenue receipt as, including tax mop up which helped to check the deficit. Here, Uttar Pradesh recorded deficit at over 10 per cent of the budget estimates.

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