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GST meet inconclusive, FM says will release $20,000 cr to states

The Centre and the states on Monday could not reach any consensus on the pending compensation issue&nbsp;at the 42nd Goods and Services Tax Council meet&nbsp;on Monday.&nbsp;

GST meet inconclusive, FM says will release $2000 cr to states

GST&nbsp;Council meet remains inconclusive FM says will release ₹20,000 cr to states 21 states opted for one of the 2 options: Nirmala Council also discussed long-pending issue of IGST

The Centre and the states on Monday could not reach any consensus on the pending compensation issue&nbsp;at the 42nd Goods and Services Tax Council meet&nbsp;on Monday. This as Finance Minister&nbsp;Nirmala Sitharaman&nbsp;said compensation cess collected this year amounting to about ₹20,000 crore would be disbursed to all states by Monday night. Sitharaman said 21 states had opted for one of the two options the Centre had previously suggested for borrowing to meet the shortfall in GST collections.&nbsp;Briefing reporters after the GST meeting, Sitharaman said the GST Council had also discussed the long-pending issue of Integrated Goods and Services Tax.

Centre writes to states, says it will clear GST dues

The Centre has written to the states promising to clear their GST dues despite the massive shortfall in GST cess collection amid the coronavirus pandemic.

The Centre has written to the states promising to clear their GST dues despite the massive shortfall in GST cess collection amid the coronavirus pandemic. The Union Finance Secretary and the Expenditure Secretary will hold an online meeting with the states on September 1 to answer questions on the two options proposed by the Centre for compensation.&nbsp;The first option is states won't have to service debt or repay it from other sources, and the second being states won't have to repay the principal amount from any other sources.&nbsp;As per the Centre's calculation,&nbsp;the total GST shortfall is estimated at ₹2.35 lakh crore.

two options

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