In the last GST Council meeting, Centre had placed two options before the states to meet the GST revenue shortfall which was pegged at Rs 2.3 lakh crore. While a few states have agreed on the Centre’s options, others have rejected both options. The seven-day deadline given to states ends on September 8 and the council is likely to meet this week.
Government officials have now indicated that the shortfall in compensation to states whether on account of GST implementation or the COVID-19 pandemic would be compensated by the Centre.