Telangana estimates GST would impose Rs 20,000 crore burden on exchequer

Hyderabad: The state government is trying to make a last ditch effort to secure GST exemption or reduction for Mission Bhagiratha, Mission Kakatiya, irrigation projects and the 2BHK housing scheme during the final GST Council meeting to be held on June 30 ahead of its roll-out on July 1.

Chief Minister K. Chandrasekhar Rao has already written to the Centre raising objections over bringing government projects that were being taken up for the larger benefit of the people under GST net. The government fears that the GST would impose a burden of over Rs 20,000 crore on the state exchequer.

IT minister K.T. Rama Rao who attended the previous GST Council meeting in New Delhi two weeks ago had highlighted the government’s concerns to Union finance minister Arun Jaitley. He assured that these issues would be taken up at the final meeting of the council.

With Mr Chandrasekhar Rao himself camping in New Delhi for the last one week and slated to attend the GST launch in Parliament on the midnight of June 30 along with Chief Ministers of other states, there are expectations that he would take up these issues with Prime Minister Narendra Modi and Mr Jaitley.

TS finance minister Etala Rajender who will attend the GST Council meeting on June 30 held day-long meetings with officials to finalise the details that need to be taken up.

Representatives of textile and film industries submitted representations to the state government on Wednesday to pitch for tax reduction under the GST regime. The state government has already increased prices for tickets in movie theatres, ahead of the implementation of the GST from July 1.