Finance Minister Nirmala Sitharaman will preside over the 41st GST Council meeting today through video conferencing. In this meeting, apart from Union Minister Anurag Thakur, Finance Ministers of States and Union Territories and senior officials of Central Government and States will be involved. This meeting was earlier to be held in July itself. This was also announced by Finance Minister Nirmala Sitharaman after the GST meeting in June in the Corona era. There has been a drastic reduction in GST collections due to the nationwide lockdown of the Corona epidemic and the impact of economic activity across the country.
The meeting of the GST Council today can be rude. Non-BJP ruled states are fully united to pressurize the Center to give compensation as promised, to compensate for the loss in revenue due to the implementation of Goods and Services Tax (GST).
It is noteworthy that on Wednesday, the issue of GST compensation was raised in a meeting chaired by Sonia Gandhi of the chief ministers of seven non-BJP ruled states. Chief Ministers of the opposition said that the Center has not paid GST compensation to the states for the last four months. He said that this situation has become very frightening today. Sonia Gandhi, taking the Narendra Modi government in the dock, said that the refusal to compensate the states on GST is nothing but deception by the Modi government to the people of the states.
It is to be noted that under the GST Act, there is a provision to compensate states for any tax loss by the central government for five years after the implementation of GST. Non-BJP governments are upset over the Central Government not giving full GST compensation to the states and they are constantly raising this issue.