There was no consensus between the Centre and the States on the ongoing issue of dual control in today’s GST Council meet.
Kerala Finance Minister, Thomas Isaac tells CNBC-TV18 that the April 1 roll-out of GST has now been ruled out.
The issue of dual control has been the biggest roadblock for the implementation of the Goods and Services Tax. But with today’s meet, the differences between the two parties have been narrowed, says Isaac.
The timeline of the implementation has yet to be decided. The GST Council may not meet again before the Budget is tabled, adds Isaac.
The council has been deadlocked in the last four meetings, the last one being on January 4, with states seeking sole powers to control assessee with annual turnover of up to Rs 1.5 crore.
Centre, however, is not in favour of a horizontal split as it feels states do not have the expertise to administer levies like service tax.
Jaitley is also not favour of dual agencies auditing and scrutinising each taxpayer as he reckons multiple authorities could end up acting at cross-purposes.
Jaitley had last week hoped to resolve the pending issues to get the new indirect tax regime rolling from April 1.
The council had in previous meeting agreed on most of the clauses of the draft IGST law, which along with Central-GST (CGST) and State-GST (SGST) have to be passed by the Parliament and state legislatives respectively before the new tax regime can be rolled out. Interated-GST or IGST deals with levy on inter-state supply (including stock transfers) of goods or services.
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