The 55th GST Council meeting in Jaisalmer resulted in a flood of demands for disaster-specific levy by several states, following a request from Andhra Pradesh for a 1% GST levy to fund their flood recovery efforts. A Group of Ministers has been formed to examine the legal and structural issues surrounding this proposal, which was discussed in detail during the council meeting. Finance Minister Nirmala Sitharaman stated that other states such as Uttar Pradesh, West Bengal, and Telangana have also expressed interest in being a part of the committee. The issue of a similar flood-cess levy by Kerala in 2019 was also brought up, with other states showing support for Andhra Pradesh's demand.
The 53rd GST Council Meeting, held in New Delhi, has generated significant anticipation for potential revisions to the current tax system. Stakeholders are hoping for a simplification of the current multiple tax rates and the inclusion of petrol and diesel under GST. Finance Minister Nirmala Sitharaman, speaking on behalf of the CGST, reassures taxpayers of the government's efforts to make GST compliance easier. Additionally, she announces the appointment of Bihar Deputy Chief Minister Samrat Choudhary as the Chairman of the GoM for Rate Rationalisation.
As exit poll agencies predict a massive majority for the Bharatiya Janata Party-led NDA, the business sector is already celebrating with Sensex and Nifty recording significant increases in pre-open trade. PM Modi's statement about Bharat's development trajectory adding to the positive sentiment. In other business news, Amul has announced a hike in milk prices, NHAI has increased toll tax rates, and Delhi Airport has achieved a remarkable feat by reducing power consumption. Additionally, records show a 10% growth in GST collection in May.
Amit Mitra, the Principal Chief Advisor to the Chief Minister of West Bengal, has written a letter to Union Finance Minister Nirmala Sitharaman, expressing his concern and anguish over the ongoing GST frauds in the country. Mitra has urged the Finance Minister to immediately call a GST Council meeting to find a solution to this issue. He also expressed his disappointment that such news is still making headlines six and a half years after the implementation of GST.