Karnataka tops nation in GST growth with ₹14,395 crore collection in October

Bengaluru : Karnataka has emerged as the top-performing state in Goods and Services Tax (GST) revenue growth for October 2025, recording a 10% increase and collecting ₹14,395 crore. The state outpaced other major economies like Maharashtra, Gujarat, and Tamil Nadu, according to the Finance Ministry’s latest report.

Nationally, GST revenue for October 2025 stood at ₹1.95 lakh crore, marking a 4.6% rise compared to the previous year, despite recent slab revisions. The Finance Ministry reported that the collection includes ₹36,547 crore from Central GST (CGST), ₹45,134 crore from State GST (SGST), ₹1,06,443 crore from Integrated GST (IGST), and ₹7,812 crore from compensation cess.

Karnataka’s consistent growth reflects its strong manufacturing and service sectors, coupled with efficient tax administration and compliance measures. Experts attribute this success to expanding digital service bases, growing startup activities in Bengaluru, and the state’s effective enforcement against tax evasion.

In comparison, Maharashtra collected ₹32,025 crore with a 3% growth rate, while Gujarat collected ₹12,113 crore (6%) and Tamil Nadu ₹11,588 crore (4%). Telangana matched Karnataka’s 10% growth with ₹5,726 crore in collections.

However, some states witnessed a decline — Himachal Pradesh (-17%), Jharkhand (-15%), Uttarakhand (-13%), Kerala (-2%), Rajasthan (-3%), and Andhra Pradesh (-9%).

Officials noted that the steady rise in GST revenue underscores a recovering national economy, with Karnataka’s performance serving as a model for fiscal discipline and growth-oriented governance. The Finance Ministry expects the upcoming months to show stronger numbers as festive season consumption and compliance measures boost collections further.