Jaitley to hold pre-budget consultations with states

Union Finance Minister Arun Jaitley will hold pre-budget consultation with several states on Wednesday.

The Goods and Services (GST) Council yesterday discussed issues related to Integrated Goods and Services Tax in a meeting held in New Delhi.

In the pre-budget consultations with the state ministers, Jaitley will hear their expectations from the Union Budget, which is likely to be presented in Parliament on February 1.

In the run up to budget, Jaitley has already held customary consultations with agriculturists, industry chambers, economists, and banks and financial institutions.

During the pre-budget meeting, the states are likely to demand increased financial support from the Centre to deal with demonetisation woes as well as for centrally sponsored schemes. Some backward states are likely to demand special category status from the Central Government.

Also, to help individuals deal with demonetisation, the states are likely to ask Jaitley to dole out incentives in the form of higher income tax exemption and deduction limit.