Zee Media Burea
New Delhi: Finance Minister Arun Jaitley on Monday assured the states that the Goods and Service Tax would benefit them especially the consumer states.
In a meeting of Parliament Consultative Committee, Jaitley called on the states to remove any apprehension about fall in their revenue collections due to the implementation of the GST.
Assuring that there would be no revenue loss, he said the centre would compensate states for any such loss arising on account of the implementation of the GST upto 5 years.
GST will help in reducing tax on tax and therefore, will be beneficial to the consumers, Jaitley said.
He also pointed out that GST will be beneficial to Centre, States and industrialists, manufacturers, common man and country at large since it will bring more transparency, better compliance, increase in GDP growth and revenue collections of both States & Centre.
Govt is in favor of strengthening cooperative federalism in country, he said at the meeting of Parliament Consultative Committee.
Last week, the government placed the long-pending GST Bill in the Lok Sabha for roll-out of the new regime from April 2016.
Touted as the single biggest indirect taxation reforms since independence and a "win-win" for Centre and states, the 122nd Constitution Amendment Bill for Goods and Services Tax (GST) was tabled by Finance Minister Arun Jaitley after extensive discussions to get states on board by addressing their concerns.
With Agency Inputs
