In reply to a separate question, Thakur said the provisional Goods and Services Tax (GST) compensation due to the 31 states and UTs stands at Rs 1,51,365 crore in the April-July period.
"GST compensation cess collected in current FY 2020-21 is not sufficient to release the admissible GST compensation for period April-July, 2020.
"Moreover, the GST compensation cess collected till July 2020 has been partly utilized for the purpose of GST compensation released to states for the period till March 2020," he added.
In the current fiscal year, states are staring at a staggering Rs 2.35 lakh crore GST revenue shortfall.Of this Rs 97,000 crore is on account of GST implementation and remaining Rs 1.38 lakh crore is estimated to be the economic impact of the COVID-19 pandemic.
Chief Ministers of 6 non-BJP ruled states/UT - West Bengal, Kerala, Delhi, Telangana, Chhattisgarh and Tamil Nadu - have written to the Centre opposing the options which require states to borrow to meet GST shortfall.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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