Intro:
The call aims to enable state departments to plug revenue leaks, boost policy efficiency, and enhance coordination with the Centre’s GSTN network.
Why Andhra Pradesh is demanding real-time GST data
At the State Finance Ministers’ conference chaired by Union FM Nirmala Sitharaman, Andhra Pradesh Finance Minister Sri Buggana Rajendranath raised a key demand:
All State government departments—not just the Commercial Taxes Department—should get real-time access to GST data through GSTN.
His reasons were clear:
- Better policy-making: Revenue departments, transport, excise, and urban local bodies can design better interventions.
- Data-driven governance: Budget estimates, tax target planning, and cross-verification improve when access is real-time.
- Tackling evasion: Helps identify fake invoicing, under-reporting, and sector-specific anomalies.
Current system vs. Real-time GST data: What’s the difference?
| Feature | Current Access | Real-time Access (Proposed) |
|---|---|---|
| Who gets access | Only Commercial Taxes Dept | All State departments |
| Frequency of updates | Delayed (monthly/quarterly basis) | Instant, real-time |
| Data granularity | Limited | GSTIN-level, invoice-level |
| Policy impact | Post-facto analysis | Proactive, data-backed decisions |
Legal framework: Can States access GSTN data?
- GSTN (Goods and Services Tax Network) is a Section 8 company governed jointly by the Centre and States.
- Data sharing protocols are governed by agreements under Rule 138D and internal GSTN APIs.
- According to Section 158A of CGST Act, 2017 (introduced via Finance Act 2023), GSTN data can now be shared with other systems with consent and for public interest purposes.
🔎 This legal provision is the gateway for States to request broader access.
Expert view: Why this matters for fiscal federalism
As per a 2024 study by the Fifteenth Finance Commission, nearly 34% of State GST revenue leakages were due to lack of departmental coordination and delayed data inputs.
“Giving real-time GST data access to planning, excise, and local bodies can increase indirect tax compliance by 10–15% annually,” says CA Rakesh Menon, a Hyderabad-based tax expert.
States that already benefit from integrated access
Some progressive States like Maharashtra and Karnataka have piloted limited real-time data models between GST and transport departments, leading to:
- Quick vehicle detention for evasion
- Cross-verification of e-way bills
- Mapping petrol/diesel sales with GST returns
What needs to happen next?
For real-time access to become a reality, these steps are critical:
- GST Council approval to define standardised protocols
- GSTN system upgrade to handle wider concurrent access
- Role-based permissions to prevent data misuse
- Training of State officials across departments
- Pilot model testing in select States
One practical tip for businesses
If you’re a small business in Andhra Pradesh, expect greater inter-departmental checks in the coming years. Ensure:
- Your e-way bills match your GSTR-1
- No undervaluation of goods/services
- GST registration details are up to date
A mismatch could now trigger notices not just from GST, but also from transport or excise.
FAQ
Q1: Is real-time GST data already available to any State?
Some States like Maharashtra and Tamil Nadu have limited access for specific departments like transport. Full access is yet to be standardised.
Q2: Will this affect small taxpayers?
Not directly, but increased scrutiny may arise if cross-data analytics become common.
Q3: Can GSTN legally share this data?
Yes, under Section 158A of CGST Act, subject to conditions and safeguards.
Summary
Andhra Pradesh has demanded real-time GST data access for all its departments to improve tax compliance and governance. Backed by Section 158A of the CGST Act, this move can help States design smarter policies and reduce leakages through inter-departmental coordination.
Conclusion:
The demand for real-time GST data access isn’t just a tech upgrade—it’s a governance reform. If implemented right, it can empower States like Andhra Pradesh to become smarter, leaner, and more revenue-efficient.