CHENNAI: Minister D Jayakumar, representing TN in the GST Council, on Thursday urged the Centre to disburse Rs 12,258.94 crore of pending compensation, in wake of the growing financial strain due to Covid-19. Speaking after participating in the 41st meeting of the GST Council, Jayakumar detailed the split-up figures for the dues to TN since 2018-19.
He said the Centre is yet to give Rs 553.01 crore for 2018-19, in addition to the Rs 246.56 crore for the year 2019-20. Similarly, for the current financial year, Rs 11,459.37 crore is to be disbursed. He also urged Centre to release pending Integrated Goods and Service Tax dues amounting to Rs 4,073 crore.
According to GST (Compensation to States) Act, 2017, the Centre has to pay compensation to States for five years, for which the former has been levying cess. He said that the Centre was fully responsible for exploring revenue resources to increase consolidated fund, to continue disbursal of GST compensation to States. “If needed, the Centre has to amend the Act to extend the period for levying cess for five more years,” he said and added that due to the existing restrains, any additional burden would impact implementation of schemes in the State.