NEW DELHI: one day before crucial GST Council meeting To discuss the payment of compensation to states, states ruled by opposition parties accused Narendra Modi’s government of failing to honor its pledge while ignoring their calls to provide aid to fight Covid-19.
Armed with legal advice from the Attorney General KK Venugopal, the Center said the burden of finding resources lies with the GST Council, although it does not shy away from its commitment. She is considering the option of using market borrowing which could be discussed on Thursday.
In a meeting with the chief ministers of states where Congress is in power or in coalition with allies, as well as West Bengal, the President of Congress Sonia gandhi accused the Center of “treason” and said it was crucial that compensation be paid on time, in accordance with legal provisions. “I know this is not happening. The contributions have accumulated. The finances of all states have been severely affected, ”she said.
Maharashtra CM Uddhav Thackeray has gone so far as to demand a review of the current tax system. “We have to see if the old (tax) structure was good or if there is a middle way,” he said. Amarinder Singh, sound Punjab counterpart, suggested a meeting with the prime minister to lobby on the issue.

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