With one more ratification for Goods and Services Tax (GST) Constitution Amendment Bill, Goa becomes the 15th state to do so and has made it a historical decision. This effort will pave a way for the legislation which will be notified by the President to the GST Council. Since the need to ratify the bill by 50% states is fulfilled, now the bill will easily be passed. Avoiding all the odds, Goa Chief Minister Laxmikant Parsekar said that the bill will enhance the sectors such as service and tourism and will thus help in generating more revenue to the state. He also stated that the center has assured for providing compensation if, during the implementation of GST, there is any loss in revenue.
The CM has also offered his thanks to all the opposition parties for their support in passing the GST bill in Parliament and also in the other state assemblies. The implementation will boost the economic growth of the state and Parsekar strongly believes that Goa being the service driven state was not getting much benefit from the service tax but will now be able to gain profit.
With the implementation of Bill, at least 50 percent of the tax (Service) from the industries will go to Goa, even if the corporate office of a company is in other state. As per the calculation of Parsekar, around Rs 1,000 crore will be added yearly in the form of Service Tax to the state exchequer.
The taxation on brewery & alcohol, vehicle tax, petroleum products, royalty on minerals and stamp duty will continue to stay in the mandate of state government as they are kept out of GST.