HYDERABAD: Ahead of the Goods and Services Tax (GST) Council meeting on December 18, the Central government on Monday released `1,206 crore to Telangana towards GST compensation for August and September, 2109. Amounts were released to all States, apparently in a bid to please and silence their finance ministers ahead of the meeting. However, Telangana will raise its voice at the meet, pressing for the early release of GST compensation dues.
Since the State’s revenues fell short by 14 per cent, it repeatedly urged the Centre to release the GST compensation owed, which it said was `1,719 crore. The officers’ committee of GST will meet on Tuesday, a day before Finance Minister T Harish Rao and Special Chief Secretary (Commercial Taxes) Somesh Kumar attend the GST Council meeting. Officials said the calculation of Telangana’s IGST share in March, 2018 was done wrongly, and the State must get an additional `2,400 crore as per the correct calculation.
This issue will be raised at the meeting, sources said. Commenting on reports that the GST slab structure will be revised at the meeting on Wednesday, officials said the GST Council’s agenda merely mentioned revenue generation. “If the reduction of slabs and an increase of taxes figure in the discussion, the finance minister will react as per the proposals. Telangana will oppose rate hikes that will affect the common man,” said an official source.
‘Will oppose rate hikes that will affect common man’
Commenting on reports that the GST slab structure will be revised at the meeting, officials said the agenda merely mentioned revenue generation. “If the reduction of slabs and an increase of taxes figure in the discussion, the finance minister will react as per the proposals. TS will oppose rate hikes that will affect the common man,” said an official