Will the Curtains Fall for the One Nation, One Tax Regime?

Jun 15, 2022

In a recent judgment, the Apex Court dismissed the central government’s appeal challenging a Gujarat High Court ruling that termed integrated GST (IGST) on ocean freight as unconstitutional. The Hon’ble Supreme Court remarked that the recommendations of the GST Council are persuasive in nature and, thus, not binding on the centre and the states. Within minutes of the preliminary details of the judgement emerging, an intense debate started on the very survival of GST. This would enable the centre and states to charge different levies once the GST compensation provided by the centre expires.

Against this backdrop, Ritesh Kanodia, Partner at Economic Laws Practice (ELP) was quoted by BusinessToday in their article titled ‘Will the Curtains Fall for the One Nation, One Tax Regime?’. He says, “The way GST law is structured today, the state government officials are responsible for administering both Central GST (CGST) and State GST (SGST) laws for multiple taxpayers. Hence, a divergence between CGST Act and SGST Act will create issues of implementation of law within the same state.”

Read the comment and detailed article here: https://bit.ly/3mM0Ml1