VAT in BJP-ruled states soon: Gaur
INSPIRED BY growing revenue of states that opted for VAT, five BJP-ruled states were likely to fall in line in two months. Indicating this, Madhya Pradesh Chief Minister Babulal Gaur today said, “We have resolved about 90 per cent of the issues and if the rest gets sorted out, we could have VAT in the next two months”.
“We have had talks with Finance Minister. We want certain clarifications on the compensation as implementing the VAT in present form would entail a revenue loss of Rs 1400 crore. But we are hopeful of resolving all issues,” Gaur said on the sidelines of a FICCI interactive meet.
Gaur said the issue was what would be the states’ share in Central goods and service tax and also as to what extent would the Centre compensate for the revenue loss on account of VAT.
He said there was also the issue of phasing out of Central sales tax but emphasised that all the BJP-ruled states would act in tandem on the issue.
As per the agreed package, the Centre will compensate states for any revenue
Source: hindustantimes.com