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Disappointed, say Congress-ruled states after GST Council meet

  •   Fri, Aug 28 2020 08:21:11 AM

New Delhi, Aug 28 (IANS): Chief Ministers and Finance Ministers of Congress-ruled states did not hide their disappointment after the GST Council Meet on Thursday, calling the Centre's proposals on their pending GST compensation cess as "unfortunate".

In a virtual media briefing, Puducherry Chief Minister V. Narayanasamy, noting how financially-hard pressed all states were due to the pandemic, said: "The way the Government of India wants states to borrow is just not the right thing to do... It is unfortunate..."

"Most of the state Finance Ministers have said that the primary responsibility (of providing states the funds) lies with the Central government," he added.

Chhattisgarh Minister T.S. Singh Deo and Punjab Finance Minister Manpreet Singh Badal were also present in the briefing.

Badal said the Council meeting was not held in a very cheerful environment.

"Today's meeting went on for five hours and I won't say it took place in a very cheerful environment," he said, adding: "We are not happy with this outcome". Deo too cited laws to bolster Congress's arguments.

States have been asking for the pending GST compensation cess from the Centre to meet their revenue shortfall due to Covid-19 which forced a complete lockdown and suspended all economic activities for a long time. However, the Centre has been asking states to borrow in view of the shortfall in GST collections and laid out two proposals in this regard.

 
  

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Comment on this article

  • Charles D'Mello, Pangala

    Fri, Aug 28 2020

    This compensation transfer must be made automatic. If the central Government can collect tax automatically, same way states contribution also can be transferred without any man power requirement and this kind of begging has to stop.

    DisAgree [1] Agree [7] Reply Report Abuse

  • Abdullah Amin, Ullal - Mangalore

    Fri, Aug 28 2020

    The disappointment is elsewhere. 20% of state's GST goes for flimsy development and the rest . . . . you know where!!

    DisAgree Agree [4] Reply Report Abuse

  • Bhavya Baliga, Udupi

    Fri, Aug 28 2020

    Unable to get huge pocket money.

    DisAgree [3] Agree [4] Reply Report Abuse

  • anthony, Mangalore

    Fri, Aug 28 2020

    A Great Disappointment as far as Governance is concerned by the BJP Govt. They are clueless as to how to manage the Economy and are only busy with Headlines Management to divert the attention of all the suffering masses from the total mismanagement.

    DisAgree [2] Agree [7] Reply Report Abuse

  • Mangalurian, Mangaluru

    Fri, Aug 28 2020

    Tax (most of it anyway) was entirely a 'states' matter under India's Federal structure, at the time of Independence.

    With GST, the entire tax management has gone to the Centre.

    Now the states are at the mercy of the Centre, waiting with their begging bowl.

    DisAgree [2] Agree [8] Reply Report Abuse


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