Centre to release GST compensation to states in 2 instalments, says MoS Finance Anurag Thakur

By: |
February 03, 2020 2:04 PM

The minister said a total of Rs 2,10,969.49 crore has been released as GST compensation to states so far including UTs of Delhi and Puducherry after implementation of GST with effect from July 1, 2017.

“All due GST compensation will be given to states in two instalments,” said Anurag Thakur, Union minister of state for finance

The Centre will release all due GST compensation to states in two instalments, Union Minister Anurag Thakur said in Lok Sabha on Monday. The reply came after MPs from Telangana and Odisha complained during Question Hour that their states were not
getting the share of the Goods and Services Tax (GST) and Integrated Goods and Service Tax (IGST).

“All due GST compensation will be given to states in two instalments,” Thakur, union minister of state for finance, said. The minister said GST (Compensation to States) Act, 2017 provides for compensation to States/UTs (UT with legislature only) on account of revenue loss due to implementation of GST on a bi-monthly basis.

Accordingly, he said, the states have been paid GST compensation on a bi-monthly basis with effect from July, 2017. Thakur said the GST Compensation has been released till
September, 2019 and the next bi-monthly GST Compensation is due for October November, 2019.

The minister said a total of Rs 2,10,969.49 crore has been released as GST compensation to states so far including UTs of Delhi and Puducherry after implementation of GST with
effect from July 1, 2017.

Period for which compensation has been released: July, 2017March 2018 – Rs 48,785.35 crore; April 2018 March 2019 – Rs 81,141.14 crore; AprilMay 2019 – Rs 17,789 crore; June July 2019 – Rs 27,956 crore; AugSept 2019 – Rs 35,298 crore.

Do you know What is FinMin releases Rs 9,871 cr grant to 17 state, Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Govt set to overshoot FY22 tax collection target as Q1 mop-up reaches Rs 5.6 lakh cr: Icra
2Forex reserves zoom to record high of USD 612.73 bn
3Road ahead more daunting, need to recalibrate priorities: Manmohan Singh on 30 yrs of liberalisation