CA Sandeep Kanoi
In this Article we have presented date wise status of Passing of GST bill by States and also the List of States which are expected to pass the bill in next 8-10 days. Till now 23 States have ratified the Constitution Amendment Bill on Goods and Services Tax (GST), while the limit of minimum states to ratify the bill to be sent to President for his assent was 16 States.
On 09.09.2016 President Pranab Mukherjee gives his assent to the GST bill ratified by more than 50 per cent state assemblies. Once the date of the new tax is notified all state and central taxes that it subsumes will cease to exist.The government is looking to implement the new tax regime from April 1, 2017.
The Constitution (122nd Amendment) Bill, 2014 on GST was passed by Parliament recently and was required to be ratified by at least 16 state legislatures before the President can notify the GST Council which will decide the new tax rate and other issues.
The government plans to roll out the new indirect tax regime from April 1, 2017.
The Constitution (122nd Amendment) Bill, 2014 was introduced in the Lok Sabha by Finance Minister Arun Jaitley on 19 December 2014, and passed by the House on 6 May 2015. In the Rajya Sabha, the bill was referred to a Select Committee on 14 May 2015. The Select Committee of the Rajya Sabha submitted its report on the bill on 22 July 2015. The bill was passed by the Rajya Sabha on 3 August 2016, and the amended bill was passed by the Lok Sabha on 8 August 2016.
Status of Ratification of GST Bill
The GST Bill was passed in accordance with the provisions of Article 368 of the Constitution, and must be ratified by more than half of the State Legislatures, as required under Clause (2) of the said article. On 12 August 2016, Assam became the first state to ratify the bill, when the Assam Leglisative Assembly unanimously ratified it. State Legislatures that ratified and who are yet to ratify the amendment are listed below:
|List of States Ratified||List of States who are yet to ratify:|
|1. Assam (12 August 2016) |
2. Bihar (16 August 2016)
3. Jharkhand (17 August 2016)
4. Himachal Pradesh (22 August 2016)
5. Chhattisgarh (22 August 2016)
6. Gujarat (23 August 2016)
7. Madhya Pradesh (24th August 2016)
8. Delhi (24th August 2016)
9. Nagaland (26th August 2016)
10. Maharashtra (29th August 2016)
11. Haryana (29th August 2016)
12. Telangana (30th August 2016)
13. Mozoram (30th August 2016)
14. Sikkim (30th August 2016)
15. Goa (31st August 2016)
16. Orissa (1st September 2016)
17. Rajasthan (2nd September 2016)
18. Puducherry (2nd September 2016)
19. Andhra Pradesh (8th September 2016)
20. Arunachal Pradesh (8th September 2016)
21. Meghalaya (9th September 2016)
22. Punjab (12th September 2016)
23. Tripura (26 September 2016)
|1. Jammu and Kashmir |
2. Karnataka (See Note-1 Below)
5. Tamil Nadu
6. Uttar Pradesh
8. West Bengal (see Note-2 Below)
1. The Karnataka State Cabinet had scheduled a special session of the Legislative Assembly to ratify the bill on 14 September, but chose to cancel the session after the bill received the President’s assent on 8 September. State Law and Parliamentary Affairs Minister T.B. Jayachandra stated, “Since the amendment has been approved by the President of India and has become law of the land, there is no necessity for the state legislative assembly to ratify the GST bill”.
2. The West Bengal Legislative Assembly was scheduled to consider ratification of the bill on 29 August. During the session, the state government unlisted the bill from consideration and postponed the House debate indefinitely. States Minister for Parliamentary affairs Partha Chatterjee informed the House business advisory committee that the discussion on GST had been postponed, but did not give any reason for the decision.
Other states may do also ratify the bill soon, although Government has already achieved the Minimum thrash-hold of 16 States.
The government has set April 1, 2017 as target for rolling out GST, considered as the country’s biggest tax reform but they may find it difficult to implement it from 1st April 2017 and bill may come into effect from 01.01.2018.
(Updated on 29.09.2016 at 08.20 AM)