Making Chief Ministers the convenor of GST GoM delays decision making: TN FM

Mr. Thiaga Rajan also said that under GST, the council, headed by the Union Finance Minister and comprising state counterparts, has to meet every quarter, but in the post-Covid era, the meeting is not taking place.

Mr. Thiaga Rajan also said that under GST, the council, headed by the Union Finance Minister and comprising state counterparts, has to meet every quarter, but in the post-Covid era, the meeting is not taking place.

Tamil Nadu Finance Minister P. Thiaga Rajan on Tuesday said the practice of naming the senior-most member as the convener of the panel looking into the issues referred by the GST Council often leads to delays in convening meetings.

He said the senior-most member of the state ministers in the GST Council is usually a chief minister or deputy chief minister, with their busy schedules limiting the time to hold meetings of the Group of Ministers (GoMs) constituted by them. Council, due to delay in submission of report.

Mr. Thiaga Rajan also said that under GST, the council, headed by the Union Finance Minister and comprising state counterparts, has to meet every quarter, but in the post-Covid era, the meeting is not taking place.

“We have this strange tradition that has been adopted for which I can’t find any reference anywhere in the documentation. If you constitute a GOM, the most senior member has to be the convener, but that’s really what you want. It’s just the opposite. How many are key Ministers have time within the scope of their broad responsibilities to convene a GoM for the GST Council.

“Certainly he has much less time than the deputy CM and the deputy CM has less time to conduct the meetings of the GoM than the minister,” Thiaga Rajan said.

He said a new convener for a GoM has been named after a gap of six months.

The Finance Minister of Tamil Nadu is a member of two GoMs under the GST Council. One on levying GST on casinos, online gaming and horse racing and the other on GST system reforms.

“The problem is that it does not meet the GoM (on system improvement). If it is not met, it is difficult for us to do any real work,” he said, adding that the GoM does not meet because there have been changes in connectivity.

The GoM on GST system reforms is currently headed by Maharashtra Deputy Chief Minister Devendra Fadnavis. Earlier it was headed by former Deputy Chief Minister of Maharashtra Ajit Pawar.

The GoM on Casino, Online Gaming and Horse Racing is headed by Meghalaya Chief Minister Conrad Sangma.