States » SouthPosted at: Jun 19 2025 1:55AM


AP: Officials told to plug loopholes used for tax evasion

Vijayawada, June 18 (UNI) Andhra Pradesh Chief Minister N Chandrababu Naidu has made it clear that evading taxes while doing business in the state would no longer be tolerated.
He directed officials to close all loopholes that enable tax evasion and warned that stringent action would be taken against those who attempt to exploit weaknesses in the system to harm government revenues.
The Chief Minister held a meeting in the Secretariat at Amaravati near here with the officials and reviewed the tax collection and issued key directives regarding revenue targets. He also pointed out that traders and taxpayers should not be subjected to harassment during tax collection and instructed that efforts must be made to raise awareness among them about tax obligations.
The Chief Minister advised officials to analyze tax payment data dating back to 2017 and said the government would reconsider the incentives currently being offered to tax evaders.
He also stated that public opinion would be gathered regarding the tax collection process by government departments, stressing that public satisfaction is essential for the coalition government.
Officials informed the Chief Minister that the estimated revenue for the 2025–26 financial year stands at Rs 1.24 lakh crore. Naidu noted that increased revenues would enable the government to enhance both development and welfare efforts.
In a video conference with Joint Commissioners from various districts, the Chief Minister discussed GST and commercial tax collections across the state. He congratulated Joint Commissioners from Chittoor, Kurnool, Kakinada, Anantapur, and Nellore districts for achieving better tax collection results.
Naidu acknowledged that the state is currently facing financial difficulties and said these issues can be resolved only by correcting the missteps taken by the previous government. Otherwise, he cautioned, the state's finances would remain in perpetual distress.
He stressed the importance of cities like Visakhapatnam and Vijayawada contributing more significantly to the state’s revenues.
Officials informed the Chief Minister that compared to the previous year, revenue collections have increased. In the Stamps and Registrations Department, collections stood at Rs 906.12 crore in April 2025 and Rs 916 crore in May. For the same period last year, collections were Rs 663.29 crore in April and Rs 583 crore in May.
They also reported a steady rise in GST revenue and clarified that GST and commercial tax collections have grown by 5.71 percent. The department has set a target of Rs 43,020 crore for GST and commercial tax revenue for the current financial year.
The Chief Minister directed officials to strengthen the excise system through the new liquor policy.
Officials explained that the new policy is expected to generate an additional Rs 2,432 crore in revenue for the state.
Naidu also instructed officials to integrate satellite data in the Mines Department to improve outcomes. He advised the use of technology to gather accurate data on minerals and sand excavation and to boost revenue. This, he said, could potentially increase income by 30 to 40 percent.
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Tags: #AP: Officials told to plug loopholes used for tax evasion
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