New Delhi: Minister of Finance Nirmala Sitharaman on Friday said that Cess over goods such as soft drinks, tobacco, coal and car will go towards loan payments to compensate the state for GST (goods and services tax) until March 2026, suggesting it The demand for the state to extend the compensation period is a difficult demand.
Sitharaman also refers to a study by the Reserve Bank of India (RBI), which has set the average GST retribution at 11.5% of the revenue’s neutral rate of 15.5%, in what is a further indication that resources for compensation longer than mandated.
It’s hard to come by.
Over the past four years, the GST council has cut hundreds of items to provide assistance to consumers.
While some countries, such as West Bengal, demanded an extension of compensation for any income shortage – which is a promise of annual growth of 14% – The Minister of Finance explains that laws are only provided for compensation of up to 2022.
Some of Americans, including those ruled by parties Opposition, admit that this is a complex problem.
The center presented the estimated income collection from CESS compensation.
“In this context various options, as recommended by various committees / forums, are presented.
The GST Board plays a long role in this problem.
The GST Council decided to establish GOM (Minister of Minister) to examine the correction issue of the reverse task structure for the main sectors, rationalize tariffs and review the exception of the income augmentation point of view from GST, “the Minister of Finance said in a statement.
While compensation problems may not be resolved and Friday discussions may be the starting point, countries argue that they need to be supported for several more years because the Pandemic Coronavirus has left those who lack money and full recovery will take at least one more year.
Pandemic Covid-19 has forced the central government to borrow from the market to pay compensation to countries, whose income has been hit and 14% guaranteed growth is difficult to achieve.
This has complicated this problem, while there is also a realization that states cannot be allowed to “fall from the cliff” so the current regime ends.
GST Cess will be used until March 2026 to pay for a loan: FM
