GST bill has been Ratified by 17 States and now, the amendment requires only the President’s assent.

GST bill has been Ratified by 17 States and now, the amendment requires only the President’s assent.

ODISHA AND RAJASTHAN  BECAME THE 16TH & 17TH  STATE RESPECTIVELY  TO RATIFY 

THE CONSTITUTIONAL AMENDMENT THAT WILL PAVE THE WAY FOR THE ROLL-OUT OF 

THE GOODS & SERVICES TAX (GST). RATIFIED NOW BY MORE THAN HALF THE 29 STATES,

 THE AMENDMENT REQUIRES ONLY THE PRESIDENT’S ASSENT — WHICH, IT IS EXPECTED, 

TO RECEIVE EXPEDITIOUSLY — BEFORE THE CENTRE CAN NOTIFY IT. THE REQUISITE 

RATIFICATIONS WERE IN PLACE SEVEN DAYS AHEAD OF THE SCHEDULE THAT THE 

FINANCE MINISTRY HAD DRAWN UP FOR IMPLEMENTING THE GST.

‘States have no choice’

Following the notification of the Constitutional (122nd Amendment) Act, 2014, no State will be
able to remain outside the GST regime. Upon its notification, all States will lose the powers to
 levy and collect value-added tax. 

This will be regardless of whether a State has ratified the amendment or not. Further, to receive
a share in the revenue collected from the GST, a State will have to pass the model GST laws. “There
will be no choice … all States will have to come on board.” 

Even States such as Tamil Nadu — where the ruling All India Anna Dravida Munnetra Kazhagam has
 been opposing the GST in its proposed form, and walked out of the Rajya Sabha at the time of voting
on the amendment last month — are participating in the ongoing discussions for thrashing out the GST’s
 roll-out.

After the notification, the Centre and the States will immediately move to set up the proposed GST Council.
 Union Finance Minister Arun Jaitley had earlier indicated that the Empowered Committee of State
Finance Ministers itself is likely to be made the Council. While the committee is headed by West Bengal
Finance Minister Amit Mitra, the council is expected to be chaired by the Union Finance Minister.

Work at both the back and front ends was going on simultaneously for ensuring that the new tax, which
will subsume all indirect taxes and levies, could be rolled out from the target deadline of April 1, 2017.

This includes the technical support systems as well the Central and State rules that will have to be in
 place before then.

Starting with Assam, Maharashtra, Haryana, Bihar, Jharkhand, Himachal Pradesh, Chhattisgarh,
Gujarat, Telangana, Madhya Pradesh, Delhi, Mizoram, Nagaland, Sikkim , Goa, Odisha and Rajasthan
 ratified the amendment.

“The requisite number of States have ratified the GST Constitution Amendment Bill and now it can go for
Presidential assent. 

The government plans to roll out the new indirect tax regime from April 1, 2017.

After the Presidential assent, the government will notify the GST Council. Union Finance Minister will
head the Council, which will comprise State Finance Ministers.