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Centre releases Rs 36,400 crore as December to February GST compensation to states.


Date: 05-06-2020
Subject: Centre releases Rs 36,400 crore as December to February GST compensation to states
The Centre on June 4 released Rs 36,400 crore as Goods & Services Tax (GST) compensation to states for the period December 2019 to February. This comes at a time when the resources of various state governments have taken a hit due to the novel coronavirus, or COVID-19, pandemic.

A total of Rs 1,15,096 crore for the period April-November 2019 had already been released by the Centre to states and Union Territories.

Last month, it was reported that the central government had released Rs 15,340 crore to states and UTs in FY21 as GST compensation despite an almost insignificant collection due to relief provided in terms of filing of returns and payment of taxes owing to the lockdown.

Meanwhile, as business activities came to a virtual standstill in April, owing to the COVID-19 led lockdown, GST collections for the month took a dip. GST collections for April reportedly stood around Rs 43,000 crore.

Source:- moneycontrol.com

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