English News

  • youtube
  • facebook
  • twitter

Tamil Nadu poised to topple Gujarat from 2nd rank in India’s GST collections

Photo for representation

Tamil Nadu is poised to overtake Gujarat in GST collections to claim the number 2 rank in the country as revenue collections in the southern state have been growing at a faster pace in recent months than Gujarat.

While Maharashtra is the undisputed leader in GST collections, Gujarat is ranked second with Tamil Nadu coming in at the third spot.

However, the latest data for GST collections released by the Finance Ministry on Monday show that Tamil Nadu’s GST collections for April were only Rs 162 crore less than Gujarat. The gap between the two states for GST collections in February was Rs 800 crore. The difference has narrowed in the last three months because GST collections in Tamil Nadu grew at a brisk rate of 15.25% in Feb and accelerated to 19% in March and April this year over the collections in the same months in 2022.

In the case of Gujarat, on the other hand the growth rate was 8% in Feb and March and then slumped to 4% in April.

The fast growth in the rate of GST collections in Tamil Nadu shows that the state’s economy is growing at a quick pace.

GST collections in Gujarat have grown from Rs 9,574 crore in Feb, Rs 9,919 crore to Rs 11,271 crore during March after which they went up further to Rs 11,721 crore in April. However, the growth rate has been slow.

In the case of Tamil Nadu, the GST collections went up from Rs 8,774 crore in Feb to Rs 9,245 in March and then surged to Rs 11,525 crore in April. The growth rate has been faster than Gujarat.

Maharashtra leads with GST collections of Rs 33,196 crore in April which have surged by 21% over the previous year.

*Source: Union Finance Ministry