Sushil Modi to head Group of Ministers (GoM) on GST revenue shortfall faced by states
Bihar Deputy Chief Minister Sushil Kumar Modi will head the 7-member Group of Ministers (GoM) to look into the revenue shortfall being faced by states following the roll out of Goods and Services Tax (GST). The GST Council, headed by Finance Minister Arun Jaitley, had decided to set up the GoM at its meeting on 22nd December 2018. As per a GST Council notification, the committee will suggest steps for augmenting collections. It will undertake data analysis and suggest measures for course correction. Several states, including Bihar, Punjab, Himachal Pradesh, Uttarakhand, Jammu and Kashmir, Odisha and Gujarat are facing revenue shortfall.The states have faced revenue shortfall in the range of 14 to 37% in the April to November period. Among the Union Territories, Puducherry is facing maximum shortfall of 43%. Of the 29 states, only Andhra Pradesh and five north eastern states — Mizoram, Arunachal Pradesh, Manipur, Sikkim and Nagaland — have recorded revenue increase post the GST roll out.