Patna,(BiharTimes): Deputy chief minister, Sushil Kumar Modi, who is also the convenor of the ministers’ panel on the GST Network, said on the first anniversary of demonetization on Wednesday that tax collection is down this year in many states, especially in Bihar.
According to him the shortfall in collection of taxes in Bihar so far is 41.5% in Bihar. He said tax collection also declined in Madhya Pradesh (25%), Assam (26.8%) and Jharkhand (31.1%), but the case of Bihar is serious.
SuMo said that Bihar, being a consumer state, could gain more if tax collection improved in coming months. He said Bihar stood to gain 54% from Integrated Goods and Services Tax (IGST). Producer states like Gujarat will get about 21% and Maharashtra 20.5% from the IGST. UP and Kerala too get 48% and 46.6% respectively, he added.
He said tax rates on 80 per cent of 227 items falling in top slab is likely to be reduced from 28 per cent to 18 per cent in the next GST council meeting. The GST fitment committee has also recommended reducing tax rates from 18 per cent to 12 per cent on a number of goods," he said at a function here.
He said so far, tax rates have been slashed on more than 100 items.