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SC: GST council must work in harmonious manner to achieve workable solution between Centre and States

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SC says GST Council recommendations are not binding on States

Name: SC says GST Council recommendations are not binding on States
Uploaded: 2022-05-19T11:41:57.000+05:30
Duration: T00M42S
Channel: EJ Biz Desk
Description: In a game changing judgement the Supreme Court has ruled that the Central government and States have simultaneous powers to legislate on Goods and Service Tax (GST).A bench led by Justice DY Chandrachud held that the Parliament...

Central government and States have simultaneous powers to legislate on GST: Supreme Court

Updated: Sep 02, 2022 10:53

EJ Biz Desk

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SC says GST Council recommendations are not binding on States

In a game changing judgement the Supreme Court has ruled that the Central government and States have simultaneous powers to legislate on Goods and Service Tax (GST).

A bench led by Justice DY Chandrachud held that the Parliament intended that the recommendations of the GST Council will have persuasive value but are not binding on the states.

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The court ruled that both Parliament & State Legislatures can legislate on GST.

In a twist for compensation share the bench stated that recommendations of GST council are product of collaborative discussion. "It is not imperative that one of the federal units must always possess a higher share." Justice Chandrachud read out.

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