Tamil Nadu’s personal tax income is performing nicely throughout most parts, aside from Worth Added Tax (VAT), in accordance with T Udhayachandran, Principal Secretary-Finance, Authorities of Tamil Nadu.
For 2024-25, the state’s personal tax income is estimated at ₹1,92,752 crore within the Revised Estimates, barely decrease than the ₹1,95,173 crore projected within the Finances Estimates. Within the Finances Estimates for 2025-26, the income is projected to develop to ₹2,20,895 crore. This contains ₹1,63,930 crore from Industrial Taxes, ₹26,109 crore from Stamps and Registration, ₹13,441 crore from Motor Car Taxes, and ₹12,944 crore from State Excise.
“We’re performing exceptionally nicely in GST collections, rating among the many prime states within the nation. Our progress price surpasses the nationwide common, and we’ve strengthened our tax administration by means of knowledge analytics to recuperate arrears successfully,” mentioned Udhayachandran.
GST collections are anticipated to rise by 22.74 per cent to ₹93,620 crore in 2025-26, up from ₹76,277 crore within the revised estimate for 2024-25.
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Nonetheless, he acknowledged sure challenges in digital funds and related areas. “There are some gray areas that want consideration. We’re collaborating with cost aggregators and gathering knowledge to make sure income from the digital financial system flows into our system. We’ve got additionally written to the GSTN (Items and Companies Tax Community) and are actively engaged on this situation,” he added.
Motorized vehicle tax collections have additionally proven sturdy efficiency because the finances has projected over 12 per cent progress at ₹13,441 crore for FY26. Whereas the transport car section stays buoyant, four-wheeler gross sales have picked up since January, although the expansion development stays to be seen.
Income from stamp responsibility and registration prices is projected to develop by 14 per cent at ₹26,110 crore. Nonetheless, gross sales tax/VAT collections, which come from petrol and liquor gross sales, proceed to lag, exhibiting decrease progress in comparison with different tax parts. For FY26, gross sales/VAT income is projected to develop at 7 per cent ₹70,311 crore (finances estimate).
