The Goods and Services Tax (GST) collection in Punjab recorded a 24.45% growth in the first three months of financial year 2026-27, state’s finance minister Harpal Singh Cheema said on Wednesday.
Announcing the first-quarter’s performance in a press communique, Cheema said the gross GST collections during April to June climbed to ₹7,833.45 crore against ₹6,294.57 crore in the corresponding period of the previous financial year, marking a gross increase of ₹1,538.88 crore.
The finance minister attributed this growth to sustained economic activity, improved tax compliance and ongoing administrative reforms within the excise and taxation department.
“The growth of over ₹1,538 crore in GST and ₹242 crore in VAT/CST collections demonstrates the effectiveness of the state’s revenue mobilisation strategy and the clear strengthening of Punjab’s fiscal position,” he said.
Cheema added that the government had simultaneously focused on facilitating genuine businesses by issuing GST refunds worth ₹1,270 crore during the first quarter. Of the total refunds, the state GST (SGST) component alone accounted for ₹713.70 crore
Timely refunds helped improve liquidity for businesses and promoted ease of doing business in the state, he added.
Highlighting government’s action against tax evasion, Cheema said penalties amounting to approximately ₹633 crore were imposed and recovered during the first quarter, representing a staggering 207% increase over the ₹207 crore recovered during the same period last year.
“In June alone, penalties amounting to ₹225 crore were imposed, and 20 FIRs were registered against bogus taxpayers involved in fake invoicing and fraudulent registrations,” the minister said.
Cheema also said the department recovered around ₹14 crore in long-pending VAT dues through property auction proceedings conducted during June.
