April 2025 GST Collections Top States That Drove India’s Tax Engine
India’s indirect tax system has seen a strong performance yet again. GST collections for April 2025 set a record, powered by a few major states. Understanding state-wise contributions is crucial for businesses, consultants, and policymakers alike.
Let’s break down the top 10 contributors by GST revenue in FY 2024, with special focus on April 2025.
Top 10 States by GST Revenue – April 2025 (Provisional)
| Rank | State | GST Revenue (₹ Crore) |
|---|---|---|
| 1 | Maharashtra | 29,647 |
| 2 | Gujarat | 12,421 |
| 3 | Karnataka | 12,411 |
| 4 | Tamil Nadu | 11,790 |
| 5 | Uttar Pradesh | 10,177 |
| 6 | Haryana | 9,228 |
| 7 | Delhi | 7,927 |
| 8 | West Bengal | 6,252 |
| 9 | Rajasthan | 5,998 |
| 10 | Madhya Pradesh | 4,573 |
Source: Ministry of Finance Press Release – April 2025
Link: pib.gov.in (Replace with official link once available)
Why GST Revenue in FY 2024 Matters
- Reflects state-level economic activity
- Indicates industry strength (e.g., manufacturing in Gujarat, services in Karnataka)
- Helps in Centre-State fund allocations
- Assists policymakers in reforming tax administration
What’s Driving the Surge in GST Revenue?
- Strong compliance: e-Invoicing, GSTN automation
- Festive + year-end billing: March–April period sees higher invoicing
- Sector recovery: Manufacturing and exports gained momentum
- Amnesty Scheme impact: Pending dues settled by defaulters
Expert Insight:
“States like Maharashtra, Tamil Nadu, and Gujarat show that GST buoyancy is tied closely to industrial and services performance. Businesses should monitor these trends for expansion strategy.”
Legal Reference to Know
As per Section 9 of CGST Act, the GST is levied on intra-state supplies, while Section 5 of IGST Act applies to inter-state. State-wise collections refer to where the supply is taxable, not necessarily where the company is registered.
How Businesses Should React
- Track state trends if your supply chains span multiple states
- Use April data to forecast Q1 tax liability
- Prepare for departmental audits in high-revenue states
- Register under GST in growth zones if applicable (multi-state ops)
FAQ Section
Q1. Why is Maharashtra always on top of GST revenue?
Due to a strong presence of manufacturing, services, and financial sectors.
Q2. Does GST collected in April reflect March sales?
Yes, April collections are largely based on transactions billed in March.
Q3. How does GST data help my business?
It helps you benchmark growth, manage input tax credits, and plan registrations better.
Summary
GST revenue in FY 2024 shows Maharashtra, Gujarat, and Karnataka leading India’s indirect tax collections. April 2025 recorded record-breaking numbers driven by better compliance and economic activity. This blog breaks down the top 10 states and what it means for Indian businesses.