Sekarreporter: Shri. G. Natarajan, Tax Advocate has told bbc news that the GST rate rationalisation may not lead to any big revenue loss, especially for States. Though it may look like a revenue loss is imminent, the boost in consumption, would lead to tax buoyancy. He also pointed out

[05/09, 08:09] Sekarreporter: Shri. G. Natarajan, Tax Advocate has told bbc news that the GST rate rationalisation may not lead to any big revenue loss, especially for States. Though it may look like a revenue loss is imminent, the boost in consumption, would lead to tax buoyancy. He also pointed out that there was no serious opposition from the States against the rate rationalisation and the decision was unanimous. Further, when sin goods attracted 28% GST and compensation CESS, States were getting only 14 % of the GST and Compensation CESS would accrue to centre. Now, when compensation cess is replaced by 40 % GST, States will directly get 50 % of it, which would boost the revenue of States, told G. Natarajan.
[05/09, 08:09] Sekarreporter: 👍