Delhi, India: Nirmala Sitharaman, the finance minister, stated on Monday that Kerala has not sent even a single such certificate since 2017-18, and that this is the reason why GST compensation to some states is delayed.
She also stated that up until May 31, 2022, all states would be eligible for GST compensation in the amount of Rs 86,912 crore. She stated that the GST council, not the central government, decides who receives the GST compensation in accordance with the law. She stated, "The AG's certification is an agreed-upon process and is (mandatory) by law between the Centre, states, and the AG."
The FM stated that the AG and the state government in question are responsible for resolving any delay in obtaining the AG's authentication. The authentication certificate will take longer to reach the central government if there is a problem between them," she stated.
Sitharaman emphasized that state governments must perform significantly more in order to receive GST compensation. In order to resolve the situation with the AG, the state governments must work efficiently. She stated, "But without AG certificate, it is extremely difficult for me to go beyond a certain limit." Regarding Tamil Nadu, the FM stated that the amount had been released after receiving the AG's certificate for 2017-18.