The primary difference between a Union Territory (UT) and a State in India lies in their governance and administrative control. States have their own governments, with elected Chief Ministers and legislative assemblies, granting them significant autonomy in legislative, administrative, and financial matters as outlined in the Indian Constitution. States have the power to make laws on subjects in the State List and the Concurrent List, and they enjoy considerable independence in managing their internal affairs.

Union Territories, on the other hand, are directly governed by the Central Government. They are administered by a Lieutenant Governor or an Administrator appointed by the President of India. While some Union Territories, like Delhi and Puducherry, have legislative assemblies and partial state-like governance, their powers are more limited compared to full-fledged states, and the central government retains substantial control over their administration and legislation.

The distinction also extends to representation in the Indian Parliament. States have representation in both the Lok Sabha (House of the People) and the Rajya Sabha (Council of States), based on their population. Union Territories, however, have varying degrees of representation, with some having no Rajya Sabha members at all.

In essence, States enjoy greater autonomy and legislative power, whereas Union Territories are more centrally controlled, reflecting their strategic, political, or administrative significance.