The Centre has released Rs 283.98 billion as GST compensation to states for July-December, with Karnataka getting a major pie.
In written reply to a Rajya Sabha question, Finance Minister Arun Jaitley said states are protected from any revenue loss on account of implementation of the new indirect tax regime under the Goods and Services Tax law.
A total of Rs 283.98 billion has been released to the states as compensation for the period July-December 2017,” he said.
The government has lowered the indirect tax revenue collection forecast in the revised estimates by Rs 518.56 billion to Rs 8.75 trillion in the current fiscal. As per the Budget estimates, over Rs 9.26 trillion was to be collected from indirect taxes.
During July-December 2017, Rs 41.30 billion has been released as compensation to Karnataka, followed by Rs 28.38 billion to Punjab, Rs 25.32 billion to Gujarat, Rs 21.19 billion to Bihar, Rs 19.11 billion to Rajasthan and Rs 15.20 billion to Uttar Pradesh, among various states.