Yogi Adityanath Sets ₹1.75 Lakh Crore Revenue Target, Calls for AI-Driven Tax Administration

Lucknow: Uttar Pradesh Chief Minister Yogi Adityanath on Tuesday conducted a comprehensive review of the state tax department’s operations, directing officials to adopt a systematic and dialogue-based approach with traders to achieve revenue collection targets.

Emphasizing the state's steady growth in GST and VAT collection, Adityanath set an ambitious revenue target of ₹1.75 lakh crore for the 2025-26 fiscal, urging officials to work towards it in "mission mode."

Rising GST Registrations and Digital Transformation

Highlighting Uttar Pradesh’s leadership in GST registrations, the chief minister noted that the number of active registered traders had risen from 17.2 lakh in 2023-24 to over 19.9 lakh in 2024-25, a testament to the success of awareness campaigns.

With GST operations now fully digitized, he directed officials to leverage IT tools and artificial intelligence (AI) for data analysis to optimize revenue collection and minimize tax evasion.

Performance Monitoring and Revenue Enforcement

To enhance efficiency within the tax administration, Adityanath called for regular performance reviews of tax officials, from commercial tax officers to joint commissioners. He also mandated a performance-based grading system for promotions and postings.

To curb tax evasion, officials were instructed to formulate region-specific strategies and develop a standardized training program along with a standard operating procedure (SOP) for revenue enforcement. He further underscored the importance of maintaining strict confidentiality in tax surveys and raids, ensuring that only skilled and dedicated personnel handle such operations.

Trader Welfare and AI-Driven Tax Model

Reaffirming the government’s commitment to trader welfare, the chief minister highlighted provisions for financial assistance of up to ₹10 lakh in cases of accidental death or permanent disability of GST-registered traders.

Calling tax evasion a “national loss,” Adityanath praised Uttar Pradesh’s AI-based return scrutiny system, which has become a model for other states. He urged continued innovation in tax administration to maintain the state’s leadership in digital governance and revenue collection.

With these directives, Uttar Pradesh is set to implement a tech-driven, trader-friendly, and enforcement-focused tax administration, positioning itself as a leader in fiscal discipline and revenue efficiency at the national level.