The Odisha Legislative Assembly on Thursday unanimously passed a resolution ratifying the Constitution Amendment Bill on Goods and Services Tax (GST), 2016. Odisha became the 16th state to have passed the landmark tax reform.
Chief Minister Naveen Patnaik would be moving a resolution for a discussion on the bill in which all members would participate. 15 states have already ratified the constitutional amendment bill.
As per reports, state finance minister Pradeep Amat has said that Odisha should be compensated for the loss of revenue that will be incurred because of the introduction of the GST.
The state has claimed over Rs. 2,755 crores owards CST compensation for the loss on account of the phase-wise abolition of the tax. Meanwhile, Patnaik yesterday wrote to the Prime Minister Narendra Modi demanding that at least 60 percent of the proceeds of the cess on coal be shared with coal-bearing states through an appropriate mechanism.
The Constitution 122nd Constitutional Amendment Bill was passed by the Parliament on August 8, marking a historic step for tax reforms which Prime Minister Modi said was ‘crucial’ for ending tax Terrorism besides reducing corruption and black money while making the consumer ‘king’. The government has set a deadline of April 2017 for the GST rollout.