GST COMPENSATION

The Union Finance Ministry has released Rs 96,576 crore to states and Union Territories (UTs) to cover the revenue shortfall in connection with the implementation of Goods and Services Tax (GST). In addition, the Centre has provided an additional Rs 1.59 lakh crore in the form of back-to-back loans to states and UTs. Notably, the Centre also gave a nod to extend the GST compensation cess till March 2026.