Archive · 9 Oct 2026
Telangana Warns Proposed GST Changes Could Cut Annual Revenue
Telangana’s finance minister says some proposed GST changes could mean less money for the state.
He estimated the yearly effect at about Rs 800 crore, though the state’s own review suggests the total loss might be much larger.
GST provides a big part of Telangana’s tax income.
That money helps pay for schools, hospitals, welfare programs, and infrastructure.
The minister asked the central government to explain the financial effects before making changes.
He also warned that some people’s identity details are being used to create fake GST registrations.
Telangana wants a group to study fraud in the scrap trade and identity theft.
It also wants GST offices in Hyderabad to help manage tax matters in the region.
Finance Minister Mallu Bhatti Vikramarka estimated proposed GST changes could cost Telangana around Rs 800 crore annually.
He said GST contributes roughly 35 per cent of the state’s own tax revenue and supports public services.
Telangana’s internal assessment suggests the cumulative revenue loss could exceed twice the initial estimate.
Bhatti urged the Centre to provide states with full financial impact assessments before introducing reforms.
Telangana proposed a GST Council ministerial group to address scrap-sector tax evasion and identity theft, and called for GSTN and Council offices in Hyderabad.
- Who
- Telangana Deputy Chief Minister and Finance Minister Mallu Bhatti Vikramarka
- What
- He warned that proposed GST changes could reduce Telangana’s revenue and proposed measures to address fraud and improve tax administration.
- When
- At the 57th GST Council meeting in Delhi on Thursday; the article does not specify the date.
- Where
- The meeting was in Delhi; the potential revenue impact concerns Telangana.
- Why
- The proposed changes concern refunds on motor vehicles, capital goods, and input services, while Telangana also cited tax fraud and identity misuse.
Telangana’s concerns
Centre’s position
Financial impact of proposed changes
Telangana’s concerns
Bhatti said the changes could cost Telangana around Rs 800 crore a year, with the state’s cumulative estimate potentially more than twice that amount. He asked for full impact assessments before reforms are introduced.
Centre’s position
The article does not report a response or position from the Centre.
- Estimated annual revenue impact
- Around Rs 800 crore
- Possible cumulative loss
- Telangana’s internal evaluation suggests it could exceed double the initial estimate.
- GST share of Telangana’s own tax revenue
- Roughly 35 per cent
- Meeting
- 57th GST Council meeting, held in Delhi on Thursday
- Changes cited
- Refunds on motor vehicles, capital goods, and input services
- Telangana proposals
- A GST Council Group of Ministers to examine scrap-sector issues and identity theft, and regional GSTN and GST Council offices in Hyderabad