Andhra Pradesh Registers 21% GST Growth Till July, Surpasses National Average

Andhra Pradesh has recorded a 21% year-on-year increase in net GST collections up to July 2026, significantly outperforming the national average growth rate of 17%. The strong revenue performance reflects improved tax compliance, technology-driven enforcement and efficient tax administration, according to the State Taxes Department.

State Taxes Chief Commissioner A. Babu said the state's net GST collections rose to ₹13,283 crore by the end of July, compared with ₹10,993 crore during the corresponding period last year. Meanwhile, overall commercial tax collections climbed 20% to ₹20,464.7 crore, up from ₹17,059.6 crore a year earlier.

Officials noted that this is the fourth consecutive month in the current financial year in which GST collections have registered year-on-year growth. In July 2026 alone, the state collected ₹3,268 crore in net GST, marking a 12% increase over ₹2,930 crore collected in July 2025. Commercial tax collections for the month also rose 14%, reaching ₹5,105 crore compared with ₹4,494 crore in the same month last year.

The department said the robust growth is particularly noteworthy as it comes despite the implementation of GST 2.0 reforms, which simplified tax rates and reduced compliance costs for businesses.

During July, Andhra Pradesh received ₹1,993.8 crore as Integrated GST (IGST) settlement, a 17.04% increase over the previous year and the third-highest monthly IGST settlement received by the state. Revenue from petroleum VAT increased 18% to ₹1,686 crore, while Professional Tax collections grew 13% to ₹49.7 crore, supported by Aadhaar integration and an expanding taxpayer base.

Compared with other states, Andhra Pradesh's 21% GST growth exceeded Telangana (19.7%), Tamil Nadu (18.4%), Odisha (5.9%) and the national average. Only Karnataka (23.5%) and Kerala (22.3%) reported higher growth during the same period.

The department also pointed out that GST collections in July have risen every year since the tax regime was introduced in 2017. Officials attributed the sustained improvement to stronger taxpayer compliance and modern technology-led monitoring.

To further curb tax evasion, the department has deployed AI-powered data analytics, AI-based scrutiny, machine learning-driven risk scoring, IGST reversal systems, UPI-based transaction analysis, DISCOM-linked registration verification, Aadhaar integration, inter-departmental data sharing and greater promotion of digital payments. Authorities said these initiatives have strengthened revenue collection and will be expanded further during the 2026-27 financial year to sustain growth.