No consensus on dual control at GST Council meet

AGE CORRESPONDENT

Published : Dec 23, 2016, 4:45 pm IST

Updated : Dec 23, 2016, 5:21 pm IST

However, Council headed by finance minister Arun Jaitley has agreed to a 100 pc compensation for states.

Mumbai: The all powerful GST Council headed by Finance Minister Arun Jaitley yet again failed to arrive at a consensus on contentious dual control issue on Friday.

However, the Council has agreed to a 100 per cent revenue sharing formula for compensating states losing out on incomes out of several state levies.

Finance Minister Arun Jaitley while briefing the media on the meet said that states will get a 100 per cent compensation for revenue losses. He added that the Council has also approved Central GST and State GST draft laws.

"Compensation to states for loss of revenue from rollout of GST to be paid every two months," PTI quoted Jaitley as saying.

The council will meet again on January 3-4 and take up the issue of dual control and "cross empowerment" under which states want GST levying power for taxing small traders or assessees with Rs 1.5 crore annual turnover.

It will also discuss legislation relative to Integrated Goods and Services Tax in the upcoming meeting that would be crucial given the time constraint as deadline for implementing the indirect tax regime nears to a close.