A Rajya Sabha Select Committee today adopted a report endorsing majority provisions of the GST Bill after the Centre agreed to compensate states for revenue loss for 5 years even as Congress filed a dissent note".
A Rajya Sabha Select Committee today adopted a report endorsing majority provisions of the GST Bill after the Centre agreed to compensate states for revenue loss for 5 years even as Congress filed a dissent note.
Members have time up to noon tomorrow to file dissent, and sources said left parties are likely to do that.
The 21-member Committee, headed by Bhupender Yadav (BJP) has adopted the report, which is likely to be submitted to the Rajya Sabha later in the week, sources said.
Congress has filed dissent on eight provisions, including composition of the GST Council and the proposal to allow states to levy 1 per cent additional tax.
The main opposition party in the Rajya Sabha, sources said, is for a “simple and comprehensive” Goods and Services Tax (GST) and not the current bill which it says is based on “compromises”.
Government will move an official amendment to the GST Bill to provide for compensation to states for any revenue loss for five years, they said.
This was one of the key demands of various parties, including Congress.
The amendment relates to Clause 19 of the Bill, amended version of which now reads as: “Parliament may, by law, on recommendation of the GST Council, provide for compensation to the states for loss of revenue arising on account of implementation of GST for a period of five years.”
The earlier version said the compensation would be paid for “up to five years”.
The left is demanding that states representation in the GST Council should be increased to three-fourth from the proposed two-third with the rest lying with the Centre.
The GST Bill has been passed by the Lok Sabha and was referred to the Select Committee by Rajya Sabha, where the ruling NDA government does not enjoy majority, for scrutiny.
The government aims to roll out GST from April 1 next year.
Madhusudan Mistry (Cong), Anil Desai (SS), Bhalchandra Mungekar (Nom), Chandan Mitra (BJP), D Raja (CPI), K C Tyagi (JDU), K N Balagopal (CPI-M), Mani Shankar Aiyar (Nom), Naresh Agrawal (SP), Naresh Gujral (SAD), Praful Patel (NCP) and Rajeev Chandrasekhar (Ind) were among the Member Parliaments who attended the meeting.