Governor Banwarilal Purohit has expressed concerns regarding two GST amendment Bills submitted by the Aam Aadmi Party government in Punjab for approval. These money Bills are slated for discussion in the upcoming special session of the Punjab Vidhan Sabha, set to commence this Friday.
Sources within the Raj Bhawan have confirmed that the Governor has raised questions about the Bills. He is particularly puzzled by the significant delay in obtaining approval for one of the amendments from the Punjab Vidhan Sabha. Notably, one of these amendments gained approval from the GST Council in July of this year, while the other received the green light from the Lok Sabha in March.
Furthermore, sources from the state Finance Department have revealed that the Governor seeks clarification on why the records of the GST Council meeting held in July were not included in the file submitted for his approval. This concern specifically pertains to the Bill that proposes an amendment to the GST Act, allowing the government to levy a 28% GST on online gaming. A senior official from the Finance Department assured that they would address the Governor’s objections by providing clarifications promptly on Thursday morning. The revised GST Act is set to take effect on October 1, granting the government the authority to impose a 28% GST on online gaming.
The second Amendment Bill necessitates the Governor’s approval for notification to establish an Appellate Authority. These sources indicate that the amendment to the GST Act, which is now under consideration, was initially recommended in the Finance Bill passed by the Lok Sabha in March. This Bill aims to create a GST Appellate Tribunal in the state to resolve all GST-related disputes, as Punjab is one of the 11 states that has yet to establish a state Appellate Authority.
