The Central Government has released GST Compensation of Rs. 30,000 crore to States as part compensation admissible for FY 2020-21 on March 27, 2021.
The total amount of compensation released so far for the year 2020-21 is Rs. 70,000 crore. As per the decision of GST Council, back to back loan of Rs. 1,10,208 crore has also been released in lieu of shortfall in release of GST Compensation for FY 2020-21.
In addition to above, Centre has also released Rs. 28,000 crore (Rs. 14,000 crore to States and Rs. 14,000 crore to Centre) by way of ad-hoc settlement of IGST on 30th March’ 2021.
Taking into account the release of GST Compensation, back to back loan and ad-hoc IGST settlement, balance of approximately Rs. 63,000 crore GST Compensation is pending to States/UTs for FY 2020-21.
