Thiruvananthapuram, Kerala Finance Minister K. N. Balagopal has called for a review of the Goods and Services Tax (GST) tax share ratio among the central states and said 60 per cent should go to the states, while now it is shared equally.
Currently, the ratio is 50:50 and it should be changed to 40:60 in favor of states, the minister said at the GST Council meeting held in New Delhi on Saturday, according to a statement issued by his office here on Sunday.
Talking about the important issues raised during the meeting, the state finance minister said that a favorable decision taken regarding the Integrated Goods and Services Tax (IGST) is expected to be very beneficial for Kerala.
Generally, a GSTR-8 return detailing GST charges by e-commerce operators while conducting business through e-commerce platforms is also required to be filed, he said.
In the meeting it was decided to include in the GSTR-8 return the details about the state to which the tax should go, along with the tax amount, Balagopal said, adding that it is a crucial decision that is expected to benefit Kerala. batch.
Those selling goods and services from other states of Kerala through e-commerce platforms like Amazon and Flipkart collect IGST from consumers here, but since the state of the consumer is not specified in the returns filed by them, Kerala does not receives part of the taxes, explained the minister.
The new decision taken during the GST Council meeting will help resolve this issue, he said.
Kerala had sought a solution to this problem by enumerating facts, which he discovered through various studies, and the GST Council accepted it, he said.
During the meeting, Kerala made it clear that problems in the GST system were the reason for the reduction in the share of IGST received by the state.
The union government informed the meeting that central IGST revenue is also declining, he said.
Based on this, the meeting decided to check whether the reason for reduced participation was due to any glitch in the IGST system, Balagopal further said.
It was also decided to re-examine the matter within 10 days with the involvement of state GST officials, he said, adding that the loss of revenue can only be controlled by identifying and fixing the problems in the system.
Checks on all matters will continue after the presentation of the union budget and the next meeting of the GST Council will be held in August or September, the statement said quoting the state External Affairs Minister.
Currently, the ratio is 50:50 and it should be changed to 40:60 in favor of states, the minister said at the GST Council meeting held in New Delhi on Saturday, according to a statement issued by his office here on Sunday.
Talking about the important issues raised during the meeting, the state finance minister said that a favorable decision taken regarding the Integrated Goods and Services Tax (IGST) is expected to be very beneficial for Kerala.
Generally, a GSTR-8 return detailing GST charges by e-commerce operators while conducting business through e-commerce platforms is also required to be filed, he said.
In the meeting it was decided to include in the GSTR-8 return the details about the state to which the tax should go, along with the tax amount, Balagopal said, adding that it is a crucial decision that is expected to benefit Kerala. batch.
Those selling goods and services from other states of Kerala through e-commerce platforms like Amazon and Flipkart collect IGST from consumers here, but since the state of the consumer is not specified in the returns filed by them, Kerala does not receives part of the taxes, explained the minister.
The new decision taken during the GST Council meeting will help resolve this issue, he said.
Kerala had sought a solution to this problem by enumerating facts, which he discovered through various studies, and the GST Council accepted it, he said.
During the meeting, Kerala made it clear that problems in the GST system were the reason for the reduction in the share of IGST received by the state.
The union government informed the meeting that central IGST revenue is also declining, he said.
Based on this, the meeting decided to check whether the reason for reduced participation was due to any glitch in the IGST system, Balagopal further said.
It was also decided to re-examine the matter within 10 days with the involvement of state GST officials, he said, adding that the loss of revenue can only be controlled by identifying and fixing the problems in the system.
Checks on all matters will continue after the presentation of the union budget and the next meeting of the GST Council will be held in August or September, the statement said quoting the state External Affairs Minister.
