VerifyReels logo VerifyReels AI Engine

Instagram · May 29, 2026

Source-backed Partially True Truth Percentage: 60% CORRECT

Gujarat Spends Less on Salaries, Pensions, and Subsidies Than UP, Despite No Alcohol Tax Revenue

Gujarat Government's financial power is revealed when you compare that to UP Government's. UP Government's 25% of the revenue comes from excise duty, which is levied on liquor, i.e., alcohol. And in Gujarat, this tax doesn't even exist. The alcohol that is sold there is basically sold in the black market. Right? Meaning, one state has a lot of money coming in from it, and the other doesn't. Yet, UP's government spends 63% of all the massive amount of money it earns, on salaries, pensions, and old debt repayment and subsidies, not on new hospitals, new roads, new schools, or new anything. It doesn't go towards any research effort or improving people's lives. Compare that to Gujarat, where the number is 42%. 42%. Meaning, one state, where it's not earning any revenue from liquor, still spends only 42% of its income on salaries, pensions, and subsidies, and more things, versus a state like UP, which cannot. Did you know this?

What's right

Gujarat's government is estimated to spend 43% of its estimated revenue receipts on committed expenditure, which includes salaries, pension, and interest payments, in 2026-27.
This comprises spending on salaries (20% of revenue receipts), pension (11%), and interest payments (12%) [1].
In 2024-25, Gujarat actually spent 47% of its revenue receipts on committed expenditure [1].
Gujarat does not generate revenue from excise duty due to prohibition on liquor [8].
Uttar Pradesh's excise duty revenue on liquor is a significant source, with one source stating it accounts for more than 12% of the state's total revenue [11], and another indicating it is around 13% of the states' own tax revenue [4].

What's wrong

The claim that Uttar Pradesh spends 63% of its income on salaries, pensions, and subsidies is not directly supported by the provided references.
One reference states that Uttar Pradesh's committed expenditure as a percentage of GSDP was 19.36% in 2018-19 and rose to 24.37% in 2021-22 [9].
Another reference indicates that committed expenditure as a percentage of total expenditure for Uttar Pradesh was 42.4% in 2022-23 [2].
The claim that UP's government revenue from excise duty on liquor is 25% is not directly supported; one source states it's over 12% of total revenue [11], and another suggests it's around 13% of own tax revenue [4].

Breakdown

Spending on Salaries, Pensions, and Subsidies The reel claims Gujarat spends 42% of its income on salaries, pensions, and subsidies, while Uttar Pradesh spends 63%. For Gujarat, the provided data shows that committed expenditure (which includes salaries, pension, and interest payments) is estimated to be 43% of revenue receipts in 2026-27, and was 47% in 2024-25 [1].

This is close to the claimed 42%. However, the claim that Uttar Pradesh spends 63% on these items is not supported by the provided references.

Data for Uttar Pradesh shows committed expenditure as a percentage of GSDP was around 19-24% [9] and as a percentage of total expenditure was 42.4% [2]. Revenue from Alcohol Excise Duty The reel correctly states that Gujarat does not earn revenue from alcohol excise duty due to prohibition [8].

The claim that Uttar Pradesh earns 25% of its revenue from liquor excise duty is not directly substantiated. Sources indicate that liquor taxes contribute over 12% of Uttar Pradesh's total revenue [11] or around 13% of its own tax revenue [4].

While significant, 25% is not confirmed by the provided context. Overall Assessment The reel accurately identifies Gujarat's lack of alcohol excise revenue and provides a figure for Gujarat's spending on salaries, pensions, and subsidies that is close to the actual estimates.

However, the figure for Uttar Pradesh's spending on these items and its revenue from alcohol excise duty are not supported by the provided references, leading to a partially true verdict. [1][2][3]

Reference sources

Open source reel
Checked 1 time

AI Cross-Question & Answer

Estimated follow-up cost: 1 credit. No new sources will be searched.

Answers stay limited to this reel, this verdict and the sources already used.

Follow-up history

Loading follow-up questions...