Centre clears GST bill for states as 5 year compensation era ends

Updated : May 31, 2022 17:28
|
EJ Biz Desk

GST latest news: The Modi Govt has released the entire amount of GST compensation payable to States up to 31st May, 2022 by releasing an amount of Rs.86,912 crores. 

In a statement issued the govt said that the money has been released despite the fact that only about Rs.25,000 crore is available in the GST Compensation Fund. The excess Rs 60,000 cr is being released by the Centre from its own resources pending collection of Cess.

Also read/watch| GDP hits a year low in March quarter; FY22 growth at 8.7%

GST was introduced in the country w.e.f. 1 July, 2017 and the states were assured for compensation for loss of any revenue arising on account of implementation of GST as per the provisions of the GST (Compensation to States) Act, 2017 for a period of five years. 2022 marks the end of the said 5 year tenure of compensation to states by the central govt. 


GDP DowngradeFinance MinistryGDP growthGDP

Recommended For You

editorji | Business

Honda Cars to hike vehicle prices by up to two per cent from Jan 2025

editorji | Business

Global stocks struggle amid inflation, economic fears: December 19, 2024 analysis

editorji | Business

India's electric vehicle market to reach Rs 20 lakh crore by 2030, says Nitin Gadkari

editorji | Business

Mallya Calls for Justice Over Excess Debt Recovery and Legal Inconsistencies

editorji | World

UK PM Keir Starmer hosts Indian business chiefs to boost investments