Punjab's Fiscal Success: A Review of Revenue Growth and Tax Innovations

Punjab's GST collections grew by 16.03% to Rs 17,860.09 crore this fiscal year, with excise revenue increasing by 8.64%. The success is attributed to innovative tax strategies and vigilant enforcement, including the One-Time Settlement Scheme-2025 and data analytics to combat tax evasion.

Punjab's GST collections have seen a significant increase, rising by 16.03% to Rs 17,860.09 crore this fiscal year. Excise revenue also surged by 8.64%, reaching Rs 7,401 crore, according to Punjab Minister Harpal Singh Cheema's recent announcement.

The minister credited this financial success to innovative frameworks and vigilant enforcement by the Excise and Taxation department, which has surpassed past benchmarks. Notably, the implementation of the One-Time Settlement Scheme-2025 and advanced data analytics has played a crucial role in reducing tax evasion.

Despite GST rate rationalisation efforts, which lowered taxes on essential goods, Punjab managed to maintain steady cash tax collections. Additional achievements include a 3.35% increase in VAT and CST collections and the exceptional performance of the Excise Policy 2025-26. Enforcement remains robust, with thousands of FIRs filed to combat illicit activities.

(With inputs from agencies.)