Andhra commercial tax collections rise 18 pc

Andhra Pradesh's commercial tax collections increased by 18% year-on-year in the first half of fiscal 2026-27, reaching Rs 30,435.98 crore. September saw the highest monthly collection, with Rs 4,986.18 crore, a 15.03% rise compared to the same period last year. Net GST collections also grew by 18%, totaling Rs 19,635.49 crore during April-September, fueled by improved compliance, enforcement, and economic activity.

September's net GST growth outpaced the national average of 8%, and was higher than that of neighboring states Karnataka, Telangana, and Kerala. IGST settlements to Andhra Pradesh rose 20.12% in September, reflecting higher consumption of goods and services. Petroleum VAT collections also increased by 20.77% in September. The revenue growth, despite GST rate rationalisation measures, is attributed to advanced technology-led enforcement, including AI-based data analytics and UPI-based analytics.

Electric machinery, machinery and equipment, iron and steel, and plastics were the top commodities contributing to September's growth, while financial-related services, support services, professional and technical services, and real estate services led the service segments. Andhra Pradesh's AI-based tax administration model has attracted interest from other states, with delegations from Rajasthan and Chhattisgarh visiting to study its systems.

The revenue performance aligns with the state's large infrastructure projects, which have boosted demand for construction materials, machinery, and services.