The government plans to increase the State’s revenues by more than ₹35,000 crore without raising taxes and burdening the common man, but by just plugging the leakages and implementing strict tax compliance measures.

The hope comes from Chief Minister A Revanth Reddy’s recent revelation on how the State increased its Goods and Services Tax (GST) collections by ₹2,500 crore within four months just by stricter implementation and participation of the employees.

During a meeting with the employee union leaders a few days ago, the Chief Minister revealed that a committee headed by economist Arvind Subramanian had suggested a few changes, which were reflected in improved tax collections. “Not a single rupee tax was increased and people burdened but the coffers were strengthened,” he said.

Mr Subramanian was appointed last December, and GST collections improved by ₹500 crore each in January, February and March, while they jumped by ₹ 1,000 crore in April. There was scope to further increase revenues by nearly ₹1,000 crore per month in GST collections alone. “If we stop small leakages and take a few corrective measures, the State can generate an additional ₹12,000 crore annually,” he observed.

Highlighting the performance of the mining sector, the Chief Minister said sand revenues had remained around ₹600 crore annually for nearly eight years, but had now crossed ₹1,100 crore this year due to tighter monitoring and reforms implemented by the government.

The excise department also registered strong growth in April, with liquor sales generating ₹2,993 crore for the State exchequer compared to ₹2,773 crore during the same month last year. Similarly, the Stamps and Registration Department recorded an increase of nearly ₹280 crore in April this year compared to April 2025.

The Chief Minister asserted that with similar efforts across departments, the State could generate an additional ₹3,000 crore per month, translating to nearly ₹ 36,000 crore annually. “With this additional income, all issues concerning employees can be resolved. I can allocate ₹2,000 crore from this additional revenue exclusively for employees’ welfare and pending demands,” he said.