Bengaluru: Union Finance Minister Nirmala Sitharaman on Wednesday March 9 said that the GST compensation cess period has been extended till March 2026. This has been done to enable the Centre to repay loans taken to provide compensation to all states in 2020.
Speaking to mediapersons, Sitharaman answering to query on Chief Minister Basavaraj Bommai urging the Centre to extend the GST compensation period ending in June said that it is the GST council that has to decide and we have discussed the issue. Further, she informed that the GST council has already decided to extend the compensation cess period till March 2026.
Elaborating on the same, Union Minister said that the extension is made to pay off the loan taken. Compensate all states that could not be paid off in 2020, and also that were not fully paid in 2021.
