UP Revenue Rises Despite Marginal GST Collection Dip in September

Uttar Pradesh’s total state revenue saw a modest increase in September 2025 compared to the previous year, even though the state’s Goods and Services Tax (GST) collections experienced a marginal decline.

Key Collection Figures

Overall Revenue Increase: The state’s total revenue rose from ₹14,747.93 crore in September 2024 to ₹15,237.44 crore in September 2025, marking an increase of ₹489.51 crore.
Marginal GST Decline: GST collections, however, fell slightly, realizing ₹5,610.55 crore, down by ₹497.72 crore from ₹6,108.27 crore collected in September 2024.
Growth Drivers: The rise in overall revenue was primarily attributed to higher collections from excise duty, stamps and registration, and transport taxes.

Context and Outlook

Officials’ Rationale: The state Finance Minister dismissed the GST dip as not reflecting the impact of the GST 2.0 reforms (effective September 22), noting that traders typically deposit GST a month after collection.
Anticipated Cause: Officials suggested the decline might be due to consumers deferring purchases in August (the transaction month for September’s collections) in anticipation of the lower GST rates announced by the government.
Future Expectation: The state anticipates higher collections in the coming months due to increased sales volume during the festive season and the simplification of tax slabs to 5% and 18%.

Source:- Hindustan Times