Business Standard

States seek legal views on Supreme Court ruling before GST Council meet

While many states want to extend the GST compensation regime beyond June 2022, the Centre's view stands that the compensation will be given to states only until that time


According to the latest official figures, Rs 78,704 crore of GST compensation was due to states for FY22, which is equivalent to the compensation of four months

Arup RoychoudhuryShrimi Choudhary New Delhi
Some states are taking a legal view on the state GST rate and the compensation rules ahead of the Goods and Services Tax (GST) Council meeting, which is likely to be held in mid-June, said people in the know. While the agenda is still being finalised, several states are likely to take up the matter related to GST compensation and may pitch for its continuation beyond the June 30 deadline.

States would like to know how they would divide the compensation collected after June 2022 for payment of principal and interest of compensation shortfall borrowing and arrears to states, sources

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First Published: May 24 2022 | 6:10 AM IST

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