Govt releases drafts of revised model GST, IGST and GST compenstion laws

Government has released the Revised Draft Model GST Law, Draft IGST Law, and Draft GST compensation law in public domain. 

In a series of tweets, Revenue Secretary Hasmukh Adhia said these laws will be considered by GST Council in its meeting scheduled for 2nd and 3rd December and finalised. 

The GST Council meeting, which was initially scheduled for yesterday, was postponed till 2nd and 3rd of next month with several states suggesting changes in the model GST Law and compensation formula. 

Centre had on November 16 circulated the draft legislation among the states. 

Government proposes to introduce these legislations as money bills to ensure they are not stuck in the Rajya Sabha where the ruling NDA does not have a majority. 

The Integrated GST law would deal with inter-state movement of goods and services. Also, the states will draft their own State GST based on the draft model law with minor variations incorporating state-based exemption.

The compensation law will list out how states will be compensated in the initial five years for revenue loss on account of GST rollout.