HYDERABAD: Telangana Finance Minister Harish Rao has demanded that Centre releases Telangana's due share of Rs 2700 crore towards Integrated GST.

Rao who had participated in the GST Council meeting said on Thursday (August 27) said that states have lost 60-70 per cent of their tax revenues after joining the GST regime while the Centres loss was pegged at 31 per cent only.

According to an official release, Telangana demanded that the Group of Ministers headed by the Bihar Deputy Chief Minister Sushil Kumar Modi on the Integrated GST to finalise the modalities and release the state's due share of Rs 2700 crore towards IGST.

"All the states have joined the GST as the Centre had assured them that joining the GST will not cause any loss to the revenue of the states. The responsibility for paying GST compensation lies entirely with the Central government.

The States lost 60 to 70 per cent of their revenue after joining the GST regime while the Centre lost only 31 per cent. Therefore, the Centre will have to pay GST compensation to the states," the release quoted Harish Rao as saying.

The release also said that while it is one of the five states that pay the highest GST, it is one of the least compensated states. The state has paid nearly 19,000 crore to the Centre in the form of GST cess, while it was given back just Rs 3,223 crore, it said.

The policies pursued by the Centre are benefitting states prone to natural disasters and poor fiscal management. They became disadvantageous to progressive states such as Telangana, Rao said.

• జీఎస్టీ పరిహారం చెల్లించే బాధ్యత కేంద్రానిదే.!

- జీఎస్టీ పరిహారం 5420 కోట్లు, ఐజీఎస్టీ 2700 కోట్లు వెంటనే విడుదల చేయాలి.
- సెస్ తగ్గినపుడు రాష్ట్రాలు అప్పులు తీసుకోవాలనడం సరి కాదు.
- సెస్ ఎక్కువ చెల్లిస్తోన్న ఐదు రాష్ట్రాల్లో తెలంగాణ ఒకటి
- తక్కువ సెస్ తీసుకుంటోంది తెలంగాణయే pic.twitter.com/mdP3iFBevs
— Harish Rao News (@TrsHarishNews) August 27, 2020