Punjab GST Collection Up 22% in FY26 First Half
Oct 02, 2025 20:40
Punjab GST collection rises 22.35% to Rs 13,971 crore in the first half of FY26. Strong growth driven by tax enforcement and rationalization.
Illustration: Dominic Xavier/Rediff.com
Chandigarh, Oct 2 (PTI) Punjab has registered a 22.35 per cent rise in Goods and Services Tax (GST) collection to Rs 13,971 crore during April-September this fiscal year, the state's Finance Minister Harpal Singh Cheema said on Thursday.
The state had collected Rs 11,418 crore in GST a year ago.
In a statement, Cheema said over the first six months of this financial year, the state has recorded a gross GST revenue growth of Rs 2,553 crore compared to the corresponding period last year.
He said the state's year-on-year GST growth rate has risen from just 5 per cent in the first half of 2024-25 to an impressive 22.35 per cent in 2025-26.
In addition to GST, Punjab has also shown encouraging results in other indirect tax categories, he added.
Collections under value-added tax and central sales tax increased by 10 per cent, while the Punjab State Development Tax (PSDT) registered a growth of 11 per cent during September 2025 compared to the same month last year, Cheema noted.
On the impact of recent GST rationalisation, the minister said Punjab's performance has proven to be much stronger than the national average.
"While most other states recorded negative growth trends in September 2025, Punjab continued to show resilience and reported double-digit growth.
"In September 2025 alone, the state collected Rs 2,140.82 crore, up from Rs 1,943 crore in September 2024, marking an increase of Rs 197.82 crore and a growth rate of 10 per cent," he added.
The excise and taxation minister said his department significantly intensified its enforcement actions against tax evasion from April to September 2025.
During this period, Rs 246 crore of ineligible Input Tax Credit (ITC) was blocked for 1,162 taxpayers.
Furthermore, four major FIRs were lodged against fraudulent networks, including scams of Rs 500 crore in Ludhiana and Rs 550 crore in Fatehgarh Sahib.
"Penalty collections from road checking and inspections by the State Intelligence and Preventive Units (SIPUs) surged sharply, rising from Rs 106.36 crore in April-September 2024 to Rs 355.72 crore in April-September 2025," said the minister.
"This increase of Rs 249.36 crore reflects a remarkable 134 per cent growth in enforcement-driven collections.
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