Centre releases Rs 1,237 cr GST compensation arrears

CHANDIGARH: Reeling under a huge revenue loss due to the ongoing lockdown to check the spread of corornavirus, Punjab on Friday received goods and services (GST)

CHANDIGARH: Reeling under a huge revenue loss due to the ongoing lockdown to check the spread of corornavirus, Punjab on Friday received goods and services (GST) compensation dues of Rs 1,237 crore from the Centre.

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The amount released as non-plan grant pertains to GST compensation arrears for financial years 2017-18 and 2018-19 on the basis of revision of the base year revenue of the state. “When the 2015-16 base year revenue was fixed, there was some gap. We submitted audited accounts and requested for its revision which has finally been accepted after two years,” said a finance department official, who did not want to be named.

In its release order, the Union finance ministry said that with this amount, the total release of GST compensation to the state from July 2017 to March 2019 comes to Rs 14,094 crore.

The state government has also been demanding the release of GST compensation arrears of Rs 4,400 crore for the past four months.