Kochi : Kerala has recorded an impressive growth in Goods and Services Tax (GST) revenue, outperforming the national growth rate in October 2026. The latest figures released by the Union Finance Ministry show that Kerala’s domestic GST revenue increased by 23% compared with the corresponding month last year.
The national growth rate in domestic GST revenue stood at 16%, meaning Kerala registered a growth rate seven percentage points higher than the national average.
The figures provide a significant boost to the economic narrative of the government led by Chief Minister V.D. Satheesan, highlighting the state’s improved tax revenue performance.
Kerala Collects Rs 3,486 Crore in October
According to the GST collection statement as of October 31, 2026, Kerala’s domestic GST revenue increased from Rs 2,829 crore in October 2025 to Rs 3,486 crore in October 2026.
This represents an increase of Rs 657 crore in just one year, translating into a growth rate of 23%.
At the national level, domestic gross GST revenue rose from Rs 1,37,328 crore to Rs 1,59,044 crore during the same period, registering a growth of 16%.
Kerala’s performance is particularly noteworthy because its growth rate exceeded the national figure by seven percentage points.
SGST Revenue Also Registers Strong Growth
Kerala has also recorded substantial growth in State Goods and Services Tax (SGST) collections.
The state’s pre-settlement SGST revenue increased from Rs 1,281 crore in October 2025 to Rs 1,568 crore in October 2026, registering a growth of 22%.
The performance becomes even stronger when the SGST portion of IGST settled to the state is included.
Kerala’s post-settlement SGST revenue increased from Rs 2,913 crore to Rs 3,689 crore during the same period.
This represents an impressive growth of 27%.
20% Growth During April–October
Kerala’s GST performance is not limited to a single month.
During April–October of the 2026-27 financial year, the state’s post-settlement SGST revenue reached Rs 23,272 crore, compared with Rs 19,395 crore during the corresponding period of the previous financial year. This translates into a growth rate of 20%.
Pre-settlement SGST revenue also increased from Rs 9,164 crore to Rs 10,538 crore, registering 15% growth.
These figures indicate that Kerala has maintained a strong revenue growth trajectory during the first seven months of the financial year.
National GST Collections Cross Rs 2.31 Lakh Crore
India’s total gross GST revenue also witnessed significant growth in October 2026.
The country’s gross GST collection increased from Rs 1,88,125 crore in October 2025 to Rs 2,31,290 crore in October 2026, registering annual growth of 22.9%.
Net GST revenue, after deducting refunds, increased from Rs 1,61,900 crore to Rs 2,03,356 crore, representing growth of 25.6%.
However, in domestic gross GST revenue, the national growth rate was 15.8%, compared with Kerala’s 23%.
A Positive Economic Indicator for the Satheesan Government
The latest GST figures provide an encouraging picture of Kerala’s revenue performance under Chief Minister V.D. Satheesan.
GST collections are influenced by several factors, including economic activity, consumer spending, business transactions, tax compliance and the efficiency of tax administration.
A sustained increase in revenue can strengthen the state’s fiscal position and provide additional resources for public expenditure and development activities.
Kerala’s 23% growth in October and 20% growth in post-settlement SGST collections during April–October are particularly significant.
The figures also place Kerala among the better-performing states in terms of GST revenue growth.
