The Center releases Rs 17,000 crore to States and UTs as GST compensation.

The central government has released a sum of Rs 17,000 crore to states and Union territories as part of the remaining GST compensation for the period April to June 2022 . This amount is despite the fact that the total Cess collection amount is just Rs.72,147 crore and the remaining Rs.

New Delhi, India, November 25, : The central government has released a sum of Rs 17,000 crore to states and Union territories as part of the remaining GST compensation for the period April to June 2022, which is also Rs 17,000 crore, according to a statement issued by the Ministry of Finance on Friday.This amount is despite the fact that the total Cess collection amount is just Rs.72,147 crore and the remaining Rs.6,000 crore.The Centre is releasing 43,515 crore from its own funds.

30,000 crore in advance of the total amount of Cess slated to be collected this year and available for payment of compensation to States, the statement said.This decision was taken to assist the States in utilizing their funds and ensuring that their programs, especially the capital expenditure, are carried out effectively during the financial year.Despite the fact that there was just about Rs.86,912 crore in provisional GST relief to states for the period February-May2022, the rest was just around Rs.86,912 crore.

25,000 crore in the GST Compensation Fund, the fund would be worth around 25,000 crore.According to the statement, the country made 62,000 crore from its own funds.With effect from July 1, 2017, the country's Goods and Services Tax was introduced, and states were promised compensation for any loss of revenue incurred as a result of the adoption of GST as per the provisions of the GST (Compensation to States) Act, 2017 for a period of five years.With effect from July 1, 2017, the Compensation Fund will be reimbursed to states and Union Territories.

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