Gujarat was the most tax-compliant state in assessment year 2018-19, based on the proportion of ‘returns filed to PAN holders’. The state saw 22.3 per cent income tax (I-T) returns filers (of the total PAN holders), followed by Delhi with a filing rate of 20.5 per cent, Punjab with 16.74 per cent, and Telangana with 16.68 per cent.
Among large states, the lowest rate of filing was seen in Bihar at 5 per cent, followed by UP at 8.11 per cent — much below the national average of 12 per cent.
The returns filing data may not be the most accurate indicator