He said that Central shall compensate states if their generated revenue decreases just because of GST. But he believes that such a kind situation would never arise, said Gadkari said at the Aaj Tak GST Conclave. He added In fact, the revenue generated from the states would rapidly increase by 15 (to) 20 (to) 25 per cent.This positive move would also sequentially boost the revenue generated compared to the current to the central government.
This would lead to a bigger annual budget, increase in GDP and lowering tax rates. He says till today tax was burdened only on those who paid their taxes honestly. But with GST more people would come under the tax reach net and tax rates would sequntially come down," he said.The Minister also added new tax reform GST would put a shutter to black money, end "inspector raj" and bring clear transparency.
