Sawant-headed GoM meets to analyse state GST trends
Panaji: The reconstituted group of ministers (GoM) formed to analyse the goods and services tax (GST) revenue is set to meet for the first time on Thursday. The GoM, headed by chief minister Pramod Sawant, will examine state-wise revenue trends and suggest sector-specific policy tweaks, said an official.
This includes mapping revenue patterns across sectors and regions to identify anomalies or areas of concern, which may impact individual state revenues and the overall federal tax structure. In addition to regional revenue trends, the GoM will examine the influence of macroeconomic policy changes on GST collections. This includes an assessment of geographical and sector-specific factors, with special attention to the fiscal challenges faced by agrarian and smaller states. The mandate also covers an analysis of recent amendments made to the GST Act, rules, and notifications to understand their implications on revenue performance.
The GoM will meet at the new Maharashtra sadan in New Delhi. The reconstituted GoM on ‘analysis of revenue from GST’ includes nine ministers from the states of Bihar (Samrat Chaudhary), Chhattisgarh (Om Prakash Choudhary), Gujarat (Kanubhai Desai), Andhra Pradesh (P Keshav), Maharashtra (Ajit Pawar), Punjab (Harpal Singh Cheema), Tamil Nadu (Thangam Thennarasu), and Telangana (M B Vikramarka).
“The Centre and state should get their dues. Each state will give their views and will raise their doubts. After the first meeting, the GoM will call for data from all the states, Union territories, and technology partners to review details of revenue from inter-state transactions,” said an official from the state GST office.
A committee of officers will be constituted to analyse the data and report to the GoM. As per the expanded terms of reference, the GoM can analyse the state-wise revenue collection trends and check for leakages, fair distribution of collected revenues, and the flow of GST.
Based on the findings, the GoM is expected to submit concrete policy recommendations aimed at augmenting revenue. This includes suggesting course correction measures for states that are experiencing significant shortfalls in GST collections. “We will be looking at railway cargo systems, customs bonded warehouses. The entire process is likely to take at least six months,” said an official.
Local industry bodies such as the Goa Chamber of Commerce and Industry, the Institute of Chartered Accountants of India, tax consultants, and other stakeholders will also be consulted in Goa.
To strengthen enforcement, the GoM will review various anti-evasion and compliance tools developed independently by multiple agencies, including the NIC, GSTN, directorate general of analytics and risk management (DGARM), and state govts. The group will explore structural reforms and policy interventions necessary to stabilise and enhance the fiscal health of states where tax revenues are declining.
This includes mapping revenue patterns across sectors and regions to identify anomalies or areas of concern, which may impact individual state revenues and the overall federal tax structure. In addition to regional revenue trends, the GoM will examine the influence of macroeconomic policy changes on GST collections. This includes an assessment of geographical and sector-specific factors, with special attention to the fiscal challenges faced by agrarian and smaller states. The mandate also covers an analysis of recent amendments made to the GST Act, rules, and notifications to understand their implications on revenue performance.
“The Centre and state should get their dues. Each state will give their views and will raise their doubts. After the first meeting, the GoM will call for data from all the states, Union territories, and technology partners to review details of revenue from inter-state transactions,” said an official from the state GST office.
A committee of officers will be constituted to analyse the data and report to the GoM. As per the expanded terms of reference, the GoM can analyse the state-wise revenue collection trends and check for leakages, fair distribution of collected revenues, and the flow of GST.
Local industry bodies such as the Goa Chamber of Commerce and Industry, the Institute of Chartered Accountants of India, tax consultants, and other stakeholders will also be consulted in Goa.
To strengthen enforcement, the GoM will review various anti-evasion and compliance tools developed independently by multiple agencies, including the NIC, GSTN, directorate general of analytics and risk management (DGARM), and state govts. The group will explore structural reforms and policy interventions necessary to stabilise and enhance the fiscal health of states where tax revenues are declining.
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