GST Council meet slated for Nov 25 stands cancelled

CNBC-TV18 learns that that GST Council meeting which was scheduled on November 25 has been cancelled. No new date is yet to be finalized.

India’s plans to implement a country-wide Goods and Services Tax (GST) entered the final leg with the Finance Minister Arun Jaitley-headed GST Council agreeing on a formula last month to compensate states in case of a revenue loss after moving to the new system.

On compensation to states, 2015-16 will be taken as the base year for calculating revenue assuming a secular or long-term growth rate of 14 percent. States will be fully compensated till five years for potential revenue loss. The GST Council has also finalised area-based exemptions and how 11 states—the eight north-eastern states and the three hilly states, will be treated under the new tax regime.

A final meeting was scheduled to thrash out the issue over dual control, which was hanging fire.