GST: Jaitley says yes to cess, no to additional tax for compensating states GST: Jaitley says yes to cess, no to additional tax for compensating states Chartered Accountant CA ICAI Chartered Accountants CA ICAI CAinINDIA ICAI Announcements Accounting Standards CA News ICAI Students ICAI Members Case Laws CPT IPCC Final ICAI Course CA Course ICAI Forum CA Question Papers ICAI Study Material

« Service Tax »

Income Tax department warns of fake refund mails and messages
Timeline for issuance of tax return intimation is 12 months
How to save income tax via medical expenditures under sections 80D, 80DD, 80DDB, 80U
4 Tips to protect yourself against tax return fraud this year
Companies with high input tax claims under lens
Goods and services tax rate cut a conundrum?for realty?developers
No marginal relief for taxpayers whose taxable income exceeds Rs 5 lakh
Did you not file? Know exactly how much penalty you will have to pay
Your salary structure decoded - Know how much you can save on taxes
How did Netflix get away with not paying income tax in 2018?
Paying income tax does not grant relief from Goods and Service Tax


« Benefits of GST to home buyers In the next lifetime...	GST to enhance ease of doing business, says Assocham... »
GST: Jaitley says yes to cess, no to additional tax for compensating states

October, 27th 2016
Ahead of the GST Council meet next week, Finance Minister Arun Jaitley said the 4-slab structure of 6, 12, 18 and 26 per cent was under consideration, with lower rates for essential commodities and higher bracket for luxury goods. Jaitley, in a Facebook post said he prefers a levy of cess on tobacco and luxury products to compensate states for loss of revenue on GST. Jaitley said if the central government has to borrow money to fund states' compensation, it would add to its liability and increase cost of borrowing for the Centre, state governments and the private sector. Alternatively, Jaitley said if cess is levied, states which benefit out of GST roll out do not have to compensate the losing states. Here is the full text of Jaitley's explanation: