Hyderabad: Telangana’s commercial taxes department is turning to artificial intelligence (AI) and dedicated tax teams to keep a closer watch on its biggest taxpayers while making compliance easier for businesses.At the centre of this effort is the State Large Taxpayer Unit (LTU), which handles 400 high-value taxpayers through four Strategic Taxpayer Units (STUs). LTU-1, LTU-2, LTU-3 and LTU-4 each oversee around 100 taxpayers.Taxpayers are brought under the LTU if they pay ₹15 crore or more in GST every month or claim input tax credit of ₹30 crore or more.A separate LTU wing at the commercial taxes department headquarters tracks these taxpayers under the supervision of commissioner Raghunandan Rao. AI tools are also being used to analyse taxpayer data, identify patterns and help officials focus on cases requiring attention.Rao said the department’s approach was aimed at combining revenue protection with ease of doing business, particularly for taxpayers making significant contributions.“Our objective is not merely to collect revenue but also to make tax administration more predictable and taxpayer-friendly. Technology and focused engagement with large taxpayers can help us achieve both,” Rao said.The state LTU is headed by a joint commissioner, while each STU is headed by a deputy commissioner. The LTU covers taxpayers from sectors such as banking, cement, drugs and pharmaceuticals, software, electronics, iron and steel, gold and jewellery, real estate, passenger transport, works contract services and automobiles.


