Andhra Pradesh Finance Minister Payavula Keshav requested the GST Council to levy flood cess

Andhra Pradesh Finance Minister Payavula Keshav. file Photo Credit: The Hindu

Andhra Pradesh Finance Minister Payyavula Keshav on Saturday (Dec 21, 2024) at the 55th GST Council meeting in Jaisalmer requested the Andhra Pradesh government to levy 1% flood cess on goods above 5% tax slab transported from the state. To enable mobilization of additional funds for distribution to those affected by the recent floods.

He noted that the proposed cess would not affect the poor and middle class but would help fund relief and rehabilitation measures in flood-affected areas, and that the Kerala government had collected a similar cess during the 2018 floods.

He sought GST exemptions and deductions on research services conducted by the government and private organizations to promote innovation and wanted to cut GST on fortified rice provided to the poor under PDS.

Further, Mr. Keshav suggested the GST Council to ensure transparency in the integrated GST settlement process and make data accessible to states, exempt small businesses and structure taxpayers from rent reverse charge mechanism and simplify GST registration through the use of technology. Ease of doing business.

He thanked Union Finance Minister Nirmala Sitharaman for setting up a sub-committee to review the suggestions made by state finance ministers and other stakeholders. Piyush Kumar, Principal Secretary (Finance), Government of Andhra Pradesh and Chief Commissioner of Commercial Taxes Babu accompanied the Minister.

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