The decision came after Congress President Sonia Gandhi met former Prime Minister Manmohan Singh along with other leaders today.
Sources said former prime minister Singh is unlikely to attend the event, with a party leader holding the view that the party's decision is applicable for all.
Singh along with another former prime minister H D Deve Gowda have been invited for the event, which President Pranab Mukherjee is likely to attend.
Party's senior spokesperson Satyavrat Chaturvedi said, "The Congress party will not attend the special midnight meeting on GST implementation."
Trinamool Congress has already announced its decision to boycott the event.
Sources said Congress leaders weighed options as a group within the party felt that the GST was the party's brainchild that has been now taken over by the ruling BJP, and thus favoured attending the special meeting.
However, some leaders opposing it feel that the GST is being implemented in a haste and all aspects have not been taken into consideration leading to harassment of small traders and businessmen and thus, the party should abstain.
The Left leaders are also not inclined to attend the special GST meeting and are set to skip it, along with some other opposition parties.
CPI(M) general secretary Sitaram Yechury has already questioned the government on "hurrying" into introducing GST and recalled that the ruling BJP had opposed the system when it was in the opposition.
The government will use the circular-shaped Central Hall to launch the new taxation system that is set to dramatically re-shape the over USD 2 trillion economy.
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