GST transfers to States are falling short of what was promised

The unprecedented economic slowdown would suggest that the crunch in GST collections is here to stay for a while. Yet the Centre must address the States’ woes at the earliest With Central GST collections falling short of expectations, States too are feeling the pinch. Under the GST Act, States which experience a tax revenue growth of less than 14 per cent per annum are liable to be compensated by…