Chidambaram looks at early introduction of GST
16 Jan 2013
Finance minister P Chidambaram today said he would outline amendments to the Constitution on the goods and services tax (GST) in his budget speech and sought consensus among states for an early transition to the GST regime.
Chidambaram is due to present the central budget for the 2013-14 financial year on 28 February.
During his pre-budget consultations with state finance ministers, Chidambaram is also understood to have discussed the issue of central sales tax (CST) compensation for states.
While the finance minister has agreed to increase the compensation to states for reduction in the central sales tax (CST), he is reported to have told state finance ministers that all would depend on the fiscal situation.
The Constitution (Amendment) Bill, 2011, which has been introduced in Parliament, is currently under scrutiny by the standing committee on finance.
Two committees - one on the CST compensation issue and the other on the design of the GST - will submit reports to the centre on 31 January.
