Jammu, July 1: As the Goods and Services Tax (GST) marks its eighth anniversary, Jammu and Kashmir reflects on the transformative impact the tax reform has had on its economy and governance.
Introduced nationwide on July 1, 2017, GST replaced a complex web of central and state levies with a unified, consumption-based tax structure. For Jammu and Kashmir, the shift was particularly significant. The region had to pass specific legislative measures—the Jammu and Kashmir Goods and Services Tax Act, 2017 (Act No. V of 2017)—which came into force on July 8, 2017, to align with the central framework.
Since its rollout, GST has played a pivotal role in integrating J&K’s economy with the national market. In 2017-18, just 72,000 dealers were registered under GST across the region. Today, that number has surged to over 2.2 lakh. Of these, 1.14 lakh are registered in the Jammu division alone, with 80,403 currently active.
Thanks to aggressive outreach and awareness campaigns, the Jammu division alone saw the registration of 8,276 new taxpayers in 2024–25.
Revenue collections have also shown consistent and promising growth. While the average monthly revenue in 2017–18 stood at approximately ₹200 crore (totaling ₹2,402.22 crore annually), this has now risen to ₹723 crore per month, with a total GST collection of ₹8,673.81 crore in 2024–25. This growth reflects improvements in compliance, administration, and taxpayer participation.
GST has simplified tax compliance by removing multiple indirect taxes, enabling businesses to claim input tax credits and reducing the overall tax burden on end consumers. Initiatives like GST Suvidha Kendras and the e-way bill system have enhanced ease of doing business and compliance efficiency.
The State Taxes Department, in collaboration with the National Informatics Centre (NIC), has developed digital platforms for return filing, registration, and grievance redressal.
Speaking on the occasion, Commissioner State Taxes, P.K. Bhat, lauded the efforts of department officials and staff for their dedication and resilience. He highlighted the department's progress in leveraging advanced data analytics and robust enforcement measures to boost revenue and ensure smooth tax administration.
“Our aim is sustainable revenue growth while maintaining ease of compliance for taxpayers,” Bhat said. “With teamwork and technology, we have made significant strides.”
Additional Commissioner Administration and Enforcement (Jammu), Namrita Dogra, echoed this sentiment, noting the department's focus on targeted scrutiny of input tax credit (ITC) claims, detection of fraudulent transactions, and action against fake GST registrations—all contributing to stronger fiscal discipline.
Additional Commissioner (Adm. & Enforcement Kashmir), Parveez Ahmad Raina, thanked taxpayers and stakeholders for their continued support. “GST has not only streamlined taxation but also fostered transparency and economic integration. Let us work together to ensure compliance and drive inclusive growth for a prosperous Jammu and Kashmir,” he said.
As J&K moves forward, the State Taxes Department aims to continue expanding the tax base, embracing digital governance, and reinforcing its commitment to a taxpayer-friendly environment.