The State government has consistently adopted a strong stance in the GST Council to avoid revenue loss in Goods and Services Tax (GST), Finance Minister K.N. Balagopal said on Monday.
The Minister was addressing the Assembly in connection with the discussion on the demands for grants on GST, Agricultural Income Tax and Sales Tax. Compared to the previous fiscal, Kerala’s GST revenues have risen by 8% in the current fiscal, he noted.
The State’s own tax revenue has increased from ₹47,000 crore in 2020-21 to ₹81,000 crore in 2024-25. The government feels that it has to be increased further. The restructuring of the State GST Department is designed to enable this, he said.
The Minister noted that two GST rates for bakery products has given rise to widespread complaints. Certain snacks, including steamed ones, carry 18% GST, while others have 5%. The State government has raised this issue in the GST Council, he said.
He also reiterated that the hike in land tax rates announced in the 2025-26 State Budget was small and would not be a burden to the people.
