Gujarat yet to get Rs 2,311 cr compensation from Centre

With no decision taken by theGST Council, compensation for shortfall inGST collectionwill no longer be extended by the centre.

However, the state is still to get compensation for shortfall intax collectiondues for the month of June 2022, which amounts to Rs 2,311 crore, according to data by theUnion Finance Ministry, tabled in the parliament.

Gujarats shortfall is sixth highest among other Indian states whose compensation is also due. According to the ministry, Rs 35,266 crore of amount is yet to be cleared from the centre. The states GST collection stood at Rs 9,207 crore in June 2022 against Rs 6,128 crore in the corresponding month last year.

The tax collection grew on a low- according to government as well as Industry sources as economic and commercial activity had barely begun picking pace after the second wave of Covid-19 receded last year in May-June.