• Business

    New GST regime: AP govt exploring alternative revenue sources

    AnyFans Posted on

    By G Naga Sridhar

    Copyright thehindubusinessline

    New GST regime: AP govt exploring alternative revenue sources

    While being supportive of Goods and Services Tax (GST) reforms as a partner of NDA alliance, Andhra Pradesh government is now in search of alternative revenue resources to bridge the gap to be created due to new slabs applicable from September 22, 2025.

    “About 88 per cent of the State Government’s GST revenue is from the 28 per cent and 18 percent slabs which are rationalised by the Centre as part of the new reforms which are going to hit the state exchequer from tomorrow,’‘ a senior official of the Finance Department told businessline on Sunday.

    The loss of revenue to the State Government could be in the tune of ₹20,000 crore as per the initial estimates of the Government. The Chief Minister N Chandrababu Naidu said recently that the common people of the state will be benefitted to tune of ₹8,000. on account GST rationalisation.

    The State Government has earned ₹36,677 crore by way GST in 2024-25. “The exact impact has to be seen in the days to come once the new slabs are rolled out,’‘ the official said.

    Collection of pending dues

    As per the measures to bridge revenue loss, the State Government will now be focussing on collection of pending dues from various sections. If needed, the district collectors have been advised to invoke the provisions of the Revenue Recovery Act, he added.

    The commercial tax officers have been directed to work in close coordination with the district revenue administration to file cases with due registration of First Information Reports (FIR) with the police. Similarly, a drive will be conducted to ensure registration of all business to prevent evasion of GST by them.

    In addition, there will be increased focus on the greater mobilisation of non-tax revenues and the mines and mineral department has been directed to explore ways and means to augment more revenue.

    A special taskforce is likely to be constituted to oversee efforts to focus on alternative sources of revenue and optimisation of existing revenue streams.

    Published on September 21, 2025

    You Might Also Like