News - Cabinet clears GST Bills to ensure rollout from July 2017
The Cabinet approved four draft laws on Goods and Services Tax (GST) needed to implement the country’s biggest tax regime from July 2017.
The Bills will now be introduced in the Parliament any time this week.
The Cabinet, chaired by Prime Minister Narendra Modi, discussed threadbare the four draft legislation--Central GST (CGST), Integrated GST (IGST), Compensation Rule and Union territories GST (UT-GST) Bills--and approved them at a meeting.
The CGST Bill makes provisions for levy and collection of tax on intra-state supply of goods or services for both by the Central Government. On the other hand, IGST Bill makes provisions for levy and collection of tax on inter-state supply of goods or services or both by the Central Government. The UTGST Bill makes provisions for levy on collection of tax on intra-UT supply of goods and services in the Union Territories without legislature.
The Compensation Bill provides for compensation to the states for loss of revenue arising on account of implementation of the goods and services tax for a period of five years as per the Constitution (One Hundred and First Amendment) Act, 2016.
The GST Council has decided 1st July as the date of commencement of GST.