![]() Finally, while many States seem to be losing out as of now with regard to the minimum revenue growth targeted after the move to the GST regime, the new structure of indirect taxation seems geared to accentuate inter-State inequalities.Further, there has been a decline in monthly GST collection in the current fiscal, with monthly CHST collection barely crossing 100000 crore mark.This raises concerns about what the revenue position of the States would be three years from now. The GST revenue accruing to the Central divisible pool is doing better than that received by the States from the State GST (SGST) and Integrated GST (IGST).While month-wise gross GST collections have been rising almost consistently over time, collections by or due directly to the States have been quite volatile and have not displayed the same consistent rise. ![]() The shortfall is a problem especially for the States because while they have given up a significant part of the taxation powers, they will be compensated only for five years for any shortfall in revenues relative to a projected revenue growth target of 14 per cent per annum.
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