Bengaluru: At a high-level review meeting held at Vidhana Soudha, Chief Minister Siddaramaiah directed the Commercial Tax and Excise Departments to intensify enforcement, prevent tax evasion, and ensure full achievement of revenue targets for FY 2025–26, GST collection, Karnataka revenue, tax enforcement.
Commercial Tax Department Performance
The Commercial Tax Department has been assigned a target of ₹1,20,000 crore for FY 2025–26.
Until the end of November, the target stood at ₹80,000 crore, against which the department achieved a net collection of ₹72,131 crore—a 90% performance rate.
The collections include:
- GST: ₹53,522 crore
- KST: ₹17,595 crore
- Professional Tax: ₹1,014 crore
The Chief Minister noted that the department recorded 12% growth from April to August. However, due to changes in GST rate structures, the growth rate fell to just 3% over the past three months, GST rate impact, tax growth slowdown.
Siddaramaiah instructed officials to ensure 100% achievement of the annual target, emphasising efficient enforcement and aggressive follow-up on pending dues.
Enforcement & Inspections
By November-end, the department conducted 13,000 inspections, recovering ₹3,183 crore in taxes.
The CM directed the Commercial Tax Intelligence Wing to carry out continuous checks to prevent evasion, warning that there should be “no room for tax leakage,” tax raids, tax intelligence, evasion control.
He further ordered the use of:
- Data-driven analysis
- Strengthened Analytics Division
- Better utilisation of historic assessment data
Action on Bogus ITC Fraud
The Chief Minister expressed concern over increasing cases of bogus Input Tax Credit (ITC).
He directed the department to:
- Maintain strict surveillance
- File criminal cases in all fraudulent ITC matters
- Ensure swift legal action against tax offenders, ITC fraud crackdown, financial crime enforcement
Excise Department Performance
The Excise Department has been given a target of ₹43,000 crore for FY 2025–26.
Until November-end, the department collected ₹26,215 crore, registering 10.46% growth over the previous year, excise revenue, liquor tax Karnataka.
The CM instructed excise officials to take all necessary measures to achieve the full-year target without compromise.
