GST: State revenues to rise by Rs 40,000 cr, says Standard Chartered

The total revenue gain at the aggregate level translates to around 0.2 to 0.3% of GDP

The roll-out of the goods and service tax (GST) is likely to lead to a fiscal bonanza for states, with the additional revenue at the aggregate level likely to be around Rs 35,000-40,000 crore, says a report by Standard Chartered. But, some states, such as Gujarat, Tamil Nadu and Haryana, are expected to see a loss of revenue. 

Six states, namely Uttar Pradesh, Bihar, West Bengal, Rajasthan, Madhya Pradesh and Punjab, are likely to be the main beneficiaries of the shift to the new indirect tax regime. 

According to the report, Uttar Pradesh is likely to get a boost of 1 per