Ajit Pawar urges Centre to extend GST compensation to states for two years

Maharashtra Deputy Chief Minister and state Finance Minister Ajit Pawar on Wednesday urged the union government to extend the period of GST compensation from Centre to States for two more years

Maharashtra Deputy Chief Minister and state Finance Minister Ajit Pawar on Wednesday urged the union government to extend the period of Goods and Services Tax (GST) compensation from Centre to States for two more years in light of financial stress faced by State governments due to COVID-19.

"Since the GST regime was introduced five years ago, every state has been getting a certain amount from the Centre but it will be stopped now. We are appealing to the Centre to continue extending this help for two more years considering the pandemic situation,'' Pawar said.

'We are keeping an eye on the Union budget. Will have to see what facilities and relaxation are being announced by the centre. If the Union government stops this help, we will then have to check details about the GST collected in Maharashtra. I am holding meetings with officials to take stock of the revenue collection," he said.

"Will inform the Chief Minister and other ministers about the whole situation in the cabinet meeting tomorrow," he added.

Pawar made the comments while interacting with reporters after unfurling the national flag in Pune on the occasion of 73rd Republic Day.

According to sources, the Union budget will be presented on February 1 in the parliament by Finance Minister Nirmala Sitharaman.