The future of GST hangs in the balance

GST was born with Centre in 2017 promising the states to compensate minimum amount of GST revenues until 2022. During the COVID-19 pandemic, when the Centre itself has run short of money in the GST kitty, it has proposed that states to borrow money for bridging the gap. While a few has accepted this proposal, there are several who have rejected it. Presently, a bitter stand-off is prevailing between the Centre and the protesting States. This editorial is on GST and widening trust deficit. It also explains what could be the alternative revenue sources. 

 

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