Dispute Resolution Mechanism May Active Under GST Revenue Issues

To adjoin the GST revenue gap created by the centre the states are seeing alternatives to oppose the plan in the coming 42nd GST council meeting There is a 42nd GST Council meeting scheduled in the first week of October 2020. The meeting will be mainly focused to review the options provided. Read more and threatened to raise a dispute resolution mechanism visualised in the Constitution.

Kerala finance minister Thomas Isaac announced in a virtual meeting with the state minister such as Westbengal, Chhattisgarh, Puducherry and Telangana that now it is time to have a dispute resolution mechanism to handle the GST differences. GST officials can set the mechanism to settle the dispute rise amid centre and several states on the problems arising with councils decisions.

“Let us have a dispute resolution mechanism within the existing framework and refer these disputed issues…if that process is not satisfactory, then there is the Supreme Court of India,”

On the 5th October GST council meeting Get to know about GST (Goods and Services Tax) council 1st to 42th meeting updates and decisions taken by members. We have covered 1st meeting to last meeting decisions , it is sufficient for making decisions through the vote 22 states have already chosen to borrow, if not through general agreement. Isaac and West Bengal finance minister Amit Mitra asked for advice from academics and specialists, which could make the basis for recommendations to be laid before the administrations.

The online meeting was conducted at the Gulati Institute of Finance and Taxation in Thiruvananthapuram and the Centre for Research in Rural and Industrial Development in Chandigarh. There is a loss in income and that some media requires to work out, said the finance minister of Jammu and Kashmir Haseeb Drabu. The RBI has plenty of schemes to help the states save from GST shortfall in critical circumstances.

The centre thus has to provide assistance for states under section and this was the condition before to hold with the central government. Issac said in a meeting that the states should never lose hope for avail GST compensation. The centre should provide compensation to states instead of borrowing from them.

“Do not think states will be frightened if somebody threatens that they will not get compensation till 2022. How GST compensation has to be calculated is given in the law and there is no distinction between COVID and non-COVID revenue loss. It is unconditional,”
“This is what worries me. This is moving towards, I suspect, muscular majoritarianism,”