GST compensation to some states delayed due to lack of AG certificate, says Sitharaman
New Delhi: Union Finance minister Nirmala Sitharaman on Monday said GST compensation to some states is delayed due to the non-availability of AG’s authenticated certificate, and that Kerala has not sent even a single such certificate since 2017-18.
Replying to a supplementary question, she also said that Rs 86,912 crore has been released for the Goods and Services Tax (GST) compensation payable to all states up to May 31, 2022.
She said as per law, the GST Council decides to whom the GST compensation is to be released, not the Central government.
“AG’s certification is (mandatory) by law between the Centre, states and the AG (accountant general), and it is an agreed process. So, unless the authentication is given by the AG...” she said.
The Finance minister said if there is any delay in getting the AG’s authentication, it is a matter between the AG and the state government concerned, and they have to sort it out.
“If between them there is a problem, the authentication certificate gets delayed in reaching the Central government,” she said.
Sitharaman underlined that to get GST compensation, state governments have to do a lot more.
“The state governments have to, pardon me using the word, be efficient to sort out things with the AG. But without an AG certificate, beyond a certain limit, it is very difficult for me to go,” she said.
Referring to Kerala, the minister said post GST induction, the southern state has not sent an AG certificate for GST compensation for 2017-18, 2018-19, 2019-20, 2020-21. She said Kerala has not sent the AG certificate even for one year for getting compensation dues. Despite that, Sitharaman said, the Centre has been accused of not releasing the funds on time.
She urged Kerala MP N K Premachandran (who asked the supplementary question) to sit with the state government and request it to send the AG certificates in one go.
Within a reasonable time, after receiving them, Sitharaman promised that she would clear the same.
“You have not sent (the AG certificate) even for one year and you keep blaming us that we are not giving you money on time. On the contrary, in the matter of tax devolution, as per the finance commission report, two instalments instead of one have gone to all states. Kerala also benefited from that,” she said.
The Union minister said with regard to Tamil Nadu, the AG’s certificate has been received for 2017-18 and the amount has been released.
She said the AG’s certified figure of about Rs 4,223 crore for 2020-21 for Tamil Nadu, even though there are some disputes, has been processed, and it will be cleared.
“But otherwise, overall all states up to May 2022 for which payment goes in early June, every amount has been cleared which is available in the public fund. The total amount given is Rs 86,912 crore that was released by May 31, 2022,” she said.
LTTE chief
by the Sinhalese people in Sri Lanka has created the right conditions for the leader of the Eelam Tamils, Prabhakaran to emerge.
Asserting that the LTTE leader is doing well, Nedumaran said the announcement would end ‘planned’ suspicions spread about him. Prabhakaran is all set to soon announce a plan for the dawn of the Eelam Tamils in Sri Lanka, he said.
He appealed to Tamils in Sri Lanka and the Tamils living in all other parts of the world to stand together and extend him their full support. Till such time the Liberation Tigers of Tamil Eelam (LTTE) was powerful, they did not allow any forces inimical to India to find a toehold in the regions held by them in Sri Lanka, he said.
They not only opposed such forces but also have not received any support from such nations opposed to India, he added. It may be recalled that Prabhakaran was killed in 2009 in the war between Sri Lankan Army and the LTTE. ‘Eelam’ in Tamil denotes the homeland of the Tamil people.Ag
