- Eight states are concerned about revenue loss from proposed GST rate cuts.
- They want GST rate cuts linked to a revenue guarantee from the central government.
- The proposal involves reducing the four-rate GST structure to two rates.
- States urge businesses to pass tax benefits to consumers.
- Kerala’s finance minister emphasizes the need for compensation for revenue losses.
- The meeting included representatives from Himachal Pradesh, Jharkhand, Karnataka, Punjab, Tamil Nadu, Telangana, and West Bengal.
- States plan to present suggestions to the GST Council in September.
- The proposal aims to boost demand by implementing changes before Deepavali.
- Current GST slabs are 5%, 12%, 18%, and 28%; the plan is to remove the 12% and 28% slabs.
- States suggest introducing a new duty on items previously under the compensation cess to minimize revenue loss.
Source: http:
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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