GST News

Author:Mr Rajat Mittal and Somasekhar Sundaresan
Profession:JSA Advocates & Solicitors

No compensation to States for CST till GST rollout: Ministry of Finance Mr. RS Gujral, Secretary to the Ministry of Finance, while addressing a post budget event, stated that CST rate was reduced from 4% to 2% as part of phasing out of the tax in backdrop of proposed GST and the compensation was originally planned for 3 years. Further the Centre cannot compensate States endlessly for as many years as GST does not come. The States had demanded compensation of Rs 19,060 crore for 2010-11 against which the Centre released Rs 6,393 crore. (Source: Business Standard, March 26, 2012) State Government of Karnataka vows to support GST regime The Karnataka State Government has committed to support the introduction of GST regime. According to the...

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