Center will not backtrack on promise of GST compensations, FM Nirmala Sitharaman
Union Finance minister Nirmala Sitharaman has assured states that the Centre will not renege on the promise of GST compensations. Addressing the India Economic Conclave through video conferencing, Ms Sitharaman said, the delay in passing the money is due to slip in collections and the states have nothing to be embarrassed about. She attributed the dip in collections to a slip in GST filing due to natural calamities and also due to a slowdown in consumption. The minister said, each state and the centre’s revenue department will have to take a lot of efforts to improve GST collection. She, however denied that the government is mulling a cut in the GST rates.
Commenting on the allegations of use of faulty data computation methodologies which may throw up convenient conclusions, the finance minister said, the government is focusing on improving data credibility. She said, the aspects being looked into are Gross Domestic Product (GDP), inflation and employment. She said the National Statistical Commission and the Ministry of Statistics and Programme Implementation are among the government agencies working on the issue.