Tue Jul 01 15:36:42 UTC 2025: **Kerala’s GST Revenue Soars, Sets Example for National Growth**
**THIRUVANANTHAPURAM, July 1, 2025** – Kerala’s Goods and Services Tax (GST) revenue has experienced a remarkable surge, recording an 18% increase in collections and a 14% rise in Central Excise collections. This impressive performance, significantly exceeding the previous year’s modest 5% growth, highlights the state’s effective strategies in taxpayer outreach and compliance.
According to S.K. Rahman, Chief Commissioner, Central Tax and Central Excise, Kerala Zone, Kerala’s success stems from its focus on early grievance resolution, timely adjudication, and leveraging digital tools for monitoring and audit processes. This approach showcases how economic growth can be effectively combined with good governance.
The GST revenue collection in the first two months of FY 2025-26 has increased with a growth rate of 18% and the Central Excise revenue with a growth rate of 14%. As per the latest revenue trends, the GST collections up to May 2025 in the financial year 2025–26 have shown notable growth of 18%, increasing from ₹3,238 crore in the same period of the previous year (FY 2024–25) to ₹3,826 crore.Similarly, Central Excise revenue has also registered a growth of 14%, with collections rising from ₹4,433 crore up to May 2024 to ₹5,056 crore in the corresponding period of FY 2025–26. Nationally, GST revenues for May 2025 reached ₹2.01 lakh crore, marking a robust 16.4% year-on-year increase.
The state’s success was celebrated at an event in Thiruvananthapuram, coinciding with the 8th anniversary of the GST regime. Actor Mohanlal was recognized as the highest taxpayer from the entertainment industry in Kerala, receiving an award from Finance Minister K. N. Balagopal.
Mr. Rahman emphasized that Kerala’s journey involves further scaling, outreach deepening, and embracing the digital economy. He highlighted GST’s crucial role in enabling inclusive growth, fiscal health, and taxpayer trust, as India aims for a $5 trillion GDP.