- Congress leader P Chidambaram conducted a search today at the Center
- He recovered Rs 78,704 cr that the center owes to the states in GST compensation
- On April 27, Fin Min said the Center had already released eight months of GST compensation due to states
On Thursday April 28, top Congress leader P Chidambaram quizzed the Center on the Rs 78,704 crore it owes the states in GST compensation, saying it would be interesting to know why the Ministry of Finance has ’embarrassed’ Prime Minister Narendra Modi by spreading the news on the day he chose to ‘reprimand’ states.
The Ministry of Finance said on Wednesday April 27 that the Center has already released eight months of GST compensation due to States for the financial year ending March 2022 and Rs 78,704 crore is pending due to insufficient balance in the cessation fund.
On the day the Prime Minister urged states to reduce the VAT rate on petrol and diesel, the Ministry of Finance announced that the Center owed Rs 78,704 crore to the states, Chidambaram said.
Take a look at P Chidambaram’s series of tweets:
“The amount owed is actually higher. If you add the amounts the states claim they owe, the total amount may be higher. Only the Comptroller of Public Accounts (CGA) can certify the correct amount,” the former said. Minister of Finances. on Twitter.
“It will be interesting to know why the Treasury embarrassed the Prime Minister on the day he chose to reprimand the States!” he said.
Noting rising fuel prices in many opposition-ruled states, Prime Minister Modi on Wednesday (April 27th) called it an “injustice” for people living there and urged governments to reduce fuel consumption. VAT in the “national interest” for the benefit of the common man.
Modi has raised the issue of non-compliance with the Centre’s call for a reduction in value added tax (VAT) on petrol and diesel after his government cut excise duties on them in November last, and asked them to work in the spirit of cooperative federalism in this time of global crisis.
(With PTI inputs)
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