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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.