U.P.’s GST revenue grows 15%, surpassing national average

U.P.’s GST revenue for the period reached ₹56,687 crore, up from ₹49,282 crore during the same period last year. While Tamil Nadu and Dadra and Nagar Haveli led with 21% growth, Gujarat and Maharashtra recorded 16%.

Uttar Pradesh has recorded impressive consumer spending trends, with a 15% growth in Goods and Services Tax (GST) revenue until November, surpassing the national average of 13%. This growth brought U.P. closer to economically advanced states like Maharashtra and Gujarat.

This growth brought U.P. closer to economically advanced states like Maharashtra and Gujarat. (Sourced)

Principal secretary of state tax, M Devaraj, attributed the rise to increased consumer spending and improvements in tax compliance. “This growth shows that people in U.P. are spending on goods and services on par with, or even more than, those in wealthier states,” he said.

U.P.’s GST revenue for the period reached ₹56,687 crore, up from ₹49,282 crore during the same period last year. While Tamil Nadu and Dadra and Nagar Haveli led with 21% growth, Gujarat and Maharashtra recorded 16%.

“The data challenges the common perception of U.P. as a low-consumption state. Since GST is based on consumption, the strong growth reflects that people in U.P. are spending at levels comparable to, or in some cases higher than, residents of more affluent states,” a senior state tax department official said.

Goods like two-wheelers,17%, three-wheelers, 16%, electronics, 20%, and cosmetics, 9%, saw notable growth. However, sectors like cell phones, real estate, and bicycles faced declines.

U.P.’s GST revenue is expected to grow further as industrial units set up following investor summits start production, an official said.