“Requested Union Finance Minister to continue GST compensation for Kerala”: KN Balagopal
Jul 12, 2023
New Delhi [India], July 12 : Kerala Finance Minister KN Balagopal on Tuesday said that he has requested Union Finance Minister Nirmala Sitharaman to continue the Goods and Service Tax (GST) compensation for the state.
Talking to the reports after meeting Sitharaman, KN Balagopal said that the state has also sought additional special packages for some schemes.
“I met Union Finance Minister Nirmala Sitharaman seeking fiscal support for Kerala. We sought additional special packages for some schemes and requested her to continue the GST compensation,” he said.
In February this year, the Union Finance Minister announced that Kerala will get Rs 780 crore as GST compensation from the Centre.
Earlier on Tuesday, KN Balagopal said that two GST appellate tribunals will be set up in Kerala at Thiruvananthapuram and Ernakulam.
Briefing reporters, he said that each tribunal will have two members -- one judicial and one technical.
The decision was taken at the 50th GST (Goods and Services Tax) Council meeting in the national capital.
Goods and Services Tax was introduced in the country with effect from July 1, 2017, and states were assured compensation for loss of any revenue arising on account of its implementation as per the provisions of the GST (Compensation to States) Act, 2017 for a period of five years.
For providing compensation to States, Cess was being levied on certain goods and the amount of Cess collected was being credited to Compensation Fund. The compensation to States was being paid out of the Compensation Fund with effect from July 1, 2017.
