The Telangana Legislative Assembly and Legislative Council have unanimously passed a resolution giving their nod to the proposed Amendment to the Constitution to pass the GST (Goods and Service Tax) Bill. Telangana has become the tenth State to ratify the Bill.

A special session of the two Houses was convened on Tuesday to exclusively to take up the issue. After the two Houses of Parliament passed the Constitutional amendment Bill, the Centre has sent it to the States. Consent of more than half of the States is required to turn the Bill into an Act.

Finance Minister Arun Jaitely had written to Telangana Chief Minister K Chandrasekhara Rao a week ago, rallying support for the Bill. While asking the State to convene a special session to pass the Bill, the Finance Minister asked the Chief Minister to ensure its approval.

Moving the resolution in the Assembly on Tuesday, Chief Minister Chandrasekhara Rao said that there won’t be any financial loss to the State as the Bill deals only with the Commercial Taxes component of VAT and the State will continue to enjoy the taxes on petrol and excise.

“Besides, the States will be benefited by an additional revenue stream in the form of the proposed share from the Service Tax. Service Tax is growing at 35 per cent in the State, and we will benefit from this,” he said.

Congress leader Chinna Reddy said his party welcomed the Bill that would bring in a uniform tax structure across the country.

‘Protect State interests’ CPI (M) member Sunnam Rajaiah has alleged that the Bill might hurt the interests of the State.

“The government must ensure that we don’t face any financial losses due to the implementation of GST,” he said.

He reminded that the Centre’s behaviour might change once the Bill was passed. Referring to the failed promises made by the erstwhile government while dividing the State, he felt that the State must insist on including all the promises in the Act itself.

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