New Delhi: An important meeting of the GST Council will be held tomorrow. The Center and the state are once again at loggerheads over the amount of compensation. The central government has said it will not pay the GST compensation under the Karona epidemic, while the government has promised to raise the amount through loans. That is why the states have been given two options. The first option is that if states want to borrow Rs 4,000 crore, it will not be reflected in their accounts. They will repay the loan with that money after the central government hands over the Rs 6 crore. The second option is for states to borrow Rs 2.34 lakh crore. But that will be reflected in their accounts as a loan and they will repay both capital and interest from their own hands. Of these, 21 states have adopted the first option, while one has taken the second option. Both non-BJP-ruled states such as West Bengal and Kerala have rejected the proposals. “The issue of borrowing has not been raised,” he said. In the first option, the amount of compensation is likely to be increased from Rs 6,000 crore to Rs 1.10 lakh crore. The first option has been made more attractive based on the feedback received from various states. Similarly, the government is still considering raising the debt ceiling for states by taking into account the 8 per cent growth. Many states are demanding that the central government repay the loans we borrow. It is alleged that the ambassador provided the information to Hussein. The states are demanding an extension of the cessation deadline and the transfer of the remaining amount of money after arrears of capital and interest.
