Sushil Modi led GoM constituted on GST revenue shortfall faced by states

  • A seven-member Group of Ministers (GoM) have been formed to look into the revenue shortfall being faced by states following the roll out of Goods and Services Tax (GST).
  • Bihar Deputy Chief Minister Sushil Kumar Modi will head the  Group of Ministers. 
  • The GST Council, headed by Finance Minister Arun Jaitley, had decided to set up the GoM at its meeting recently. As per a GST Council notification, the committee will suggest steps for augmenting collections. It will undertake data analysis and suggest measures for course correction.
  • Several state governments  have said that they are facing revenue shortfall including Bihar, Punjab, Himachal Pradesh, Uttarakhand, Jammu and Kashmir, Odisha and Gujarat .
  • The states have faced revenue shortfall in the range of 14 to 37 per cent in the April to November period.
  • Among the Union Territories, Puducherry is facing maximum shortfall of 43 per cent.
  • Of the 31 states, only Andhra Pradesh and five north eastern states — Mizoram, Arunachal Pradesh, Manipur, Sikkim and Nagaland — have recorded revenue increase post the GST roll out.

Written by 

Leave a Reply

Your email address will not be published. Required fields are marked *