Karnataka’s GST collection likely to take a hit: G. Parameshwara

Deputy Chief Minister G. Parameshwara | Photo credit: File photo

The prevailing drought in the state is likely to affect the collection of GST, Deputy Chief Minister and Revenue Minister G. Parameshwara said on Monday.

“The state is facing drought and crop losses. This will have an impact across sectors. Financial experts have indicated that GST collections may naturally fall as a result,” he told reporters. Karnataka estimates the drought losses at around ₹46,000 crore and the state was looking for about ₹10,000-11,000 crore, he added.

Saying that the extent of the impact would be clear in the coming days, he said the government has maintained an adequate buffer and is also exploring measures to improve GST collection. “Karnataka is facing an unprecedented drought. Its impact will certainly be felt across sectors, including GST collection,” he added.

He pointed out that Karnataka consistently ranks second in GST collection in the country and that the state’s position has been presented in every meeting of the GST Council. The Chief Minister had earlier appointed Minister Krishna Byre Gowda to represent Karnataka in the GST Council meetings where he presented the state’s stand on all relevant issues, he added.

Govt. examining the design

Mr. Parameshwara said that Sections 79A and 79B of the Land Reforms Act, which were removed earlier for various reasons, are being reviewed. He told reporters on Monday that several submissions have now been received asking for a review of the provisions. “We are looking into the matter. After review, we will take it up with the chief minister. If it requires cabinet consideration, it will be brought up to the cabinet,” he said.

Published – 05 Oct 2026 20:12 IST