India’s Top States by GST Collections in FY26 Ranked
India’s gross GST collections crossed ₹22.27 lakh crore in FY2025-26, up 8.3% from the previous financial year. Among states, Maharashtra ranked first with GST collections of about ₹3.62 lakh crore, followed by Karnataka, Gujarat, Tamil Nadu and Haryana.
The numbers also reveal a wide gap between India’s biggest GST contributors and smaller states and Union Territories. Here is a closer look at the FY26 state-wise GST rankings, the states showing strong growth, and what these figures actually tell us about their economies.
How much GST did India collect in FY26?
India recorded approximately ₹22.27 lakh crore in gross GST collections in FY26, representing year-on-year growth of 8.3%.
Net GST revenue after refunds stood at around ₹19.34 lakh crore, up 7.1% from the previous financial year.
March 2026 ended the year on a strong note. Gross GST collections for the month reached approximately ₹2.00 lakh crore, an increase of 8.8% compared with March 2025.
The national numbers, however, do not show how GST collections are distributed across states.
Which states collected the most GST in FY26?
According to state-wise GST collection data reported from the GST Council, Maharashtra was India’s largest GST contributor in FY26, with collections of ₹3,61,777.65 crore.
Karnataka ranked a distant second at ₹1,58,217.30 crore.
“Start investing with confidence! Explore
0 demat account
and grow your wealth.”
Top 10 states by GST collections in FY26
| Rank | State | FY26 GST collection |
|---|---|---|
| 1 | Maharashtra | ₹3,61,777.65 crore |
| 2 | Karnataka | ₹1,58,217.30 crore |
| 3 | Gujarat | ₹1,35,415.19 crore |
| 4 | Tamil Nadu | ₹1,30,248.08 crore |
| 5 | Haryana | ₹1,21,079.98 crore |
| 6 | Uttar Pradesh | ₹99,916.69 crore |
| 7 | Delhi | ₹80,425.00 crore |
| 8 | West Bengal | ₹65,229.56 crore |
| 9 | Telangana | ₹60,839.67 crore |
| 10 | Rajasthan | ₹53,880.56 crore |
Source: GST Council data as reported by ET CFO.
The ranking shows that GST collections are heavily concentrated in states with large formal economies, major consumption centres and significant industrial or services activity.
It is important, however, not to treat these figures as a direct ranking of state economies. GST is a destination-based tax, and the way revenue is collected and settled matters when comparing states.
1. Maharashtra: ₹3.62 lakh crore
Maharashtra topped India’s state-wise GST collection ranking with ₹3,61,777.65 crore in FY26.
Its lead was substantial. Maharashtra collected roughly 2.3 times as much as Karnataka, which ranked second.
The state has one of India’s largest and most diversified economies. Mumbai is a major centre for finance, professional services, entertainment and consumption, while Pune and other industrial regions contribute significant manufacturing, technology and commercial activity.
That broad economic base is consistent with Maharashtra’s position at the top of the GST table.
However, the presence of corporate headquarters in Mumbai should not be interpreted as meaning all GST generated by those companies accrues to Maharashtra. GST is destination-based, so interstate transactions and the location of consumption affect where revenue ultimately goes.
2. Karnataka: ₹1.58 lakh crore
Karnataka ranked second with ₹1,58,217.30 crore in GST collections during FY26.
Bengaluru is one of India’s largest technology and services hubs, while Karnataka also has sizeable electronics, aerospace, biotechnology and manufacturing industries.
Its position demonstrates the importance of services and formal business activity in India’s GST base.
Even so, Karnataka’s collections were less than half of Maharashtra’s, highlighting the scale of Maharashtra’s lead.
3. Gujarat: ₹1.35 lakh crore
Gujarat was India’s third-largest state by GST collections, recording ₹1,35,415.19 crore in FY26.
The state has a strong manufacturing base across chemicals, pharmaceuticals, engineering, automobiles, textiles and other industries.
Gujarat is also a major trade and logistics hub.
There is an important caveat when connecting this activity with GST collections. Exports are zero-rated under GST, so a state’s export strength does not translate directly into higher domestic GST revenue.
4. Tamil Nadu: ₹1.30 lakh crore
Tamil Nadu ranked fourth with ₹1,30,248.08 crore in FY26 GST collections.
The state has one of India’s most diversified manufacturing economies, with significant activity in automobiles, auto components, electronics, textiles and engineering.
Chennai also has a large technology and services sector.
Tamil Nadu finished relatively close to Gujarat, with a difference of only around ₹5,167 crore between the two states.
5. Haryana: ₹1.21 lakh crore
Haryana completed the top five with ₹1,21,079.98 crore in state-wise GST collections.
Its ranking stands out because Haryana has a considerably smaller population than several states below it.
Gurugram is an important corporate and services centre, while the state also has major automobile, manufacturing and industrial clusters.
Haryana also performed strongly on another GST metric in FY26. Its cumulative post-settlement SGST recorded 22% growth, the highest state-wise growth reported for the year.
The two numbers should not be confused. The ₹1.21 lakh crore figure refers to the state-wise GST collection ranking, while post-settlement SGST is a separate measure of revenue available to states after settlement.
What about Uttar Pradesh, Delhi and other large economies?
Uttar Pradesh narrowly missed the top five, ranking sixth with ₹99,916.69 crore in GST collections.
Delhi followed at ₹80,425 crore.
West Bengal ranked eighth at ₹65,229.56 crore, Telangana ninth at ₹60,839.67 crore, and Rajasthan completed the top 10 with ₹53,880.56 crore.
One interesting result is Uttar Pradesh’s position.
Despite being India’s most populous state, UP collected substantially less GST than Maharashtra and also trailed Karnataka, Gujarat, Tamil Nadu and Haryana.
This is a useful reminder that population alone does not determine GST revenue.
Formalisation, consumption levels, the value of taxable transactions, sector mix and business activity can all influence how much GST is collected in a state.
Which states and UTs collected the least GST in FY26?
At the other end of the ranking were some of India’s smallest states and Union Territories.
Lowest GST collectors in FY26
| State or UT | FY26 GST collection |
| Lakshadweep | ₹25 crore |
| Mizoram | ₹450 crore |
| Ladakh | ₹539 crore |
| Andaman and Nicobar Islands | ₹572 crore |
| Manipur | ₹746 crore |
Lakshadweep recorded the lowest reported GST collection at approximately ₹25 crore.
Mizoram was next at ₹450 crore, followed by Ladakh at ₹539 crore.
These figures require context.
Smaller absolute GST collections do not automatically indicate weak tax compliance or poor economic performance. Population, consumption, economic size, geography and the scale of the formal business sector differ enormously between these regions and states such as Maharashtra or Karnataka.
For that reason, comparing Maharashtra’s ₹3.62 lakh crore directly with Lakshadweep’s ₹25 crore tells us more about differences in economic scale than about which administration is performing better.
Which state recorded the strongest GST growth in FY26?
Haryana recorded the highest cumulative post-settlement SGST growth among states in FY26, at 22%.
This is a different measure from the state-wise GST collection ranking above.
Post-settlement SGST reflects state GST revenue after the settlement process between the Centre and states.
Maharashtra remained the largest contributor in absolute post-settlement SGST terms, recording approximately ₹1.95 lakh crore, up 13%.
Other major states recorded:
- Karnataka: about ₹87,256 crore, up 5%
- Gujarat: about ₹80,823 crore, up 10%
- Tamil Nadu: about ₹78,117 crore, up 3%
- Maharashtra: about ₹1.95 lakh crore, up 13%
- Haryana: 22% cumulative growth
These figures provide a different perspective from the overall state-wise collection ranking.
A state can rank highly in absolute GST collections while recording relatively modest year-on-year growth. Likewise, a smaller state can grow rapidly from a lower base.
Which states saw GST revenue decline?
GST performance was not uniform across India in FY26.
Official-data-based reporting showed negative post-settlement SGST growth in several states and Union Territories, including:
- Chhattisgarh
- Jharkhand
- Odisha
- West Bengal
- Assam
- Delhi
- Jammu and Kashmir
This divergence is important because India’s national GST growth can hide substantial variation at the state level.
A national increase of 8.3% in gross collections does not mean every state experienced comparable growth.
Why is Maharashtra India’s biggest GST contributor?
Maharashtra’s position reflects the scale and diversity of its taxable economy, along with its large consumer market.
The state combines several major economic centres and sectors, including:
- Financial and professional services
- Manufacturing
- Technology
- Automobiles
- Pharmaceuticals
- Media and entertainment
- Retail and consumer spending
Mumbai and Pune are particularly important centres of economic activity.
Still, GST collections should not be viewed simply as taxes generated where a company has its headquarters or factory.
GST is designed as a destination-based consumption tax. In broad terms, the tax ultimately follows the location where goods or services are consumed.
That makes Maharashtra’s large consumer base and formal economy particularly relevant to understanding its position.
Does higher GST collection mean a state has a bigger economy?
Not necessarily. GST collection is an indicator of taxable economic activity, not a direct measure of a state’s economic size or wealth.
Several factors influence state-wise GST collections:
- Size of the formal economy
- Household consumption
- Business spending
- Value of taxable transactions
- Services and manufacturing mix
- Interstate transactions
- Imports
- GST compliance and formalisation
- Refunds and revenue settlements
There are also major parts of the economy that GST does not capture in the same way.
For example, petrol and diesel remain outside the GST framework. Alcoholic liquor for human consumption is also outside GST.
Exports are zero-rated, meaning exporters can generally claim refunds of GST paid on eligible inputs or supplies.
As a result, a state with a large petroleum industry or export sector may generate considerable economic output without that activity translating proportionately into state GST collections.
For a fuller picture, GST collections should be considered alongside Gross State Domestic Product (GSDP), per-capita income, consumption, industrial output and employment data.
What is the difference between state-wise GST and SGST?
This distinction is crucial when reading GST rankings.
SGST, or State Goods and Services Tax, is the state component of GST charged on eligible intra-state transactions.
State-wise GST collection datasets can include broader GST revenue associated with a state, depending on how the government dataset is presented.
Post-settlement SGST is different again. It reflects revenue after the settlement of GST between the Centre and states, including the relevant allocation of IGST.
That is why figures such as Haryana’s ₹1.21 lakh crore state-wise GST collection and its 22% post-settlement SGST growth should not be compared as though they represent the same metric.
The safest approach is to compare states within the same GST dataset and period.
What do FY26 GST collections tell us about India’s economy?
Three trends stand out from the FY26 numbers.
GST revenue remains concentrated
Maharashtra’s ₹3.62 lakh crore collection puts it far ahead of every other state.
Karnataka, Gujarat, Tamil Nadu and Haryana also occupy prominent positions, showing the importance of India’s major industrial, services and consumption centres.
Population does not determine GST ranking
Uttar Pradesh has India’s largest population but ranked sixth in state-wise GST collections.
Haryana, despite its much smaller population, ranked fifth.
This shows why formal economic activity, consumption and the value of taxable transactions matter alongside population.
State growth was uneven
India’s overall gross GST collections increased 8.3%, but individual states did not move at the same pace.
Haryana recorded particularly strong post-settlement SGST growth, while several other states experienced declines on the same measure.
The national GST number therefore tells only part of the story.
FAQs
Q. Which state had the highest GST collection in India in FY26?
Maharashtra recorded the highest state-wise GST collection in FY26 at ₹3,61,777.65 crore, according to GST Council data reported by ET CFO. Karnataka ranked second at ₹1,58,217.30 crore.
Q. What were the top five states by GST collection in FY26?
The top five were Maharashtra, Karnataka, Gujarat, Tamil Nadu and Haryana. Maharashtra led by a large margin with approximately ₹3.62 lakh crore in collections.
Q. How much GST did India collect in FY26?
India collected approximately ₹22.27 lakh crore in gross GST during FY2025-26, an increase of 8.3% year-on-year. Net GST revenue after refunds was approximately ₹19.34 lakh crore.
Q. Which state recorded the fastest GST growth in FY26?
Haryana recorded the highest cumulative post-settlement SGST growth among states at 22%. This metric is different from the absolute state-wise GST collection ranking.
Q. Which state or UT had the lowest GST collection in FY26?
Lakshadweep had the lowest reported GST collection at approximately ₹25 crore. Mizoram, Ladakh, Andaman and Nicobar Islands, and Manipur were also among the lowest collectors.
Q. Why does Maharashtra collect the most GST?
Maharashtra has a large formal economy, substantial consumer spending and significant activity across services, manufacturing, finance, technology and other sectors. These factors contribute to its large GST base.
Q. Is GST collected where goods are produced or consumed?
GST is primarily a destination-based tax, meaning revenue is linked to where taxable goods and services are ultimately consumed rather than simply where they are produced.
For interstate supplies, IGST is generally collected and later apportioned through the GST settlement mechanism.
Q. Does GST collection show which Indian state is richest?
No. GST collections measure taxable transactions and revenue, not overall wealth. GSDP, per-capita income, employment, industrial output and other indicators should also be considered when comparing state economies.
Q. Are petrol and diesel included in GST?
No. Major petroleum products such as petrol and diesel remain outside GST. They continue to be subject to taxes such as central excise duty and state VAT, as applicable.
Key takeaways
- India’s gross GST collections reached about ₹22.27 lakh crore in FY26, up 8.3% year-on-year.
- Maharashtra ranked first among states, with collections of approximately ₹3.62 lakh crore.
- Karnataka, Gujarat, Tamil Nadu and Haryana completed the top five.
- Maharashtra collected roughly 2.3 times as much as second-ranked Karnataka.
- Uttar Pradesh ranked sixth despite being India’s most populous state.
- Haryana recorded 22% cumulative post-settlement SGST growth, the strongest reported state-wise growth on that measure.
- Maharashtra’s post-settlement SGST reached approximately ₹1.95 lakh crore, up 13%.
- Several states recorded negative post-settlement SGST growth, showing that FY26 performance was uneven.
- Lakshadweep had the lowest reported absolute GST collection at around ₹25 crore.
- State-wise GST collections, SGST and post-settlement SGST are different measures and should not be used interchangeably.
- GST data is useful for tracking taxable economic activity, but it is not a standalone ranking of state economic strength.
Reference
- GST Portal, Official FY26 GST Data
Best primary source for the national and state-wise numbers. It confirms FY26 gross GST revenue of ₹22,27,096 crore, Maharashtra at ₹3,61,778 crore, Karnataka at ₹1,58,217 crore, Gujarat at ₹1,35,415 crore, and the other state figures used in the article.
Official GST collections data for March 2026 and FY26 - ET CFO, State-wise FY26 GST rankings
Useful as a secondary editorial source for the top-performing and lagging states and easier for readers to consume than the underlying government tables.
ET CFO: India’s GST revenue breakdown for FY26 - Business Standard, Post-settlement SGST growth
Use this specifically for the section discussing Haryana’s 22% growth, Maharashtra’s post-settlement SGST, and differences in state growth rates.
Business Standard: State-wise GST growth in FY26
Disclaimer
The stocks mentioned in this article are not recommendations. Please conduct your own research and due diligence before investing. Investment in securities market are subject to market risks, read all the related documents carefully before investing. Please read the Risk Disclosure documents carefully before investing in Equity Shares, Derivatives, Mutual fund, and/or other instruments traded on the Stock Exchanges. As investments are subject to market risks and price fluctuation risk, there is no assurance or guarantee that the investment objectives shall be achieved. Lemonn (Formerly known as NU Investors Technologies Pvt. Ltd) do not guarantee any assured returns on any investments. Past performance of securities/instruments is not indicative of their future performance.
Related Posts
Download Lemonn
Download my app for share market trading, ipo investment, trading account, and all your investment needs.
