HYDERABAD: Finance Minister T Harish Rao on Tuesday asked the Group of Ministers (GoM) to suggest to the Centre that it pay the Integrated Goods and Services Tax (IGST) dues before the next GST Council meeting scheduled for October 5.
Participating in the GoM meeting through video-conference from BRKR Bhavan, Harish said the IGST dues to Telangana are Rs 2,641 crore.
The states need the financial resources as they fight the Covid-19 pandemic, he said in the meeting presided by IGST GoM convenor and Bihar Deputy Chief Minister Sushil Kumar Modi.
Harish pointed out that the total IGST dues to 16 States, including Telangana, from 2018 stand at Rs 25,058 crore.
Though Telangana has to receive Rs 2,641 crore IGST dues, the GST Council estimated it forRs 2,638 crore, incurring a loss of Rs 3 crore to the State.
The State government will take this up with the GST officials and it is not a big issue, Harish said.
The GoM convenor should suggest that the IGST dues be released to the States before the next GST Council meeting.
The GoM should recommend the same within a week, Harish urged Modi. If a decision is not taken in the next GST Council meeting, the States would have to wait for three months for another meeting, he said.
Responding positively to Harish’s suggestion, Modi assured him that another round of the GoM meeting would be held on October 1.
The Telangana Finance Minister also suggested that the Goods and Services Tax recoveries of Rs 1,015 crore, to be collected form 18 States, be adjusted against the GST compensation to be paid to them in future.