GST to remain stuck if Centre's stance is rigid: Kerala minister

Thomas Isaac insists aspects such as cross empowerment have to be addressed

Kerala's Finance Minister Thomas Isaac has asked the Centre to change its stance if it wants to get the Goods and Service Tax Bill passed and approved by state governments.

"GST law is a procedure of matter and having the lead upon the broad frame on the Constitution. If the current government is ready to move from its stand of cross empowerment, then there will be a conclusion, otherwise, there will be no conclusion," Thomas said.

"The GST draft bill can't be considered and approved, because the administrative aspects of GST, particularly cross empowerment, have to be concluded. So, the ball is in Centre's court," he added.

Thomas asserted there is no chance of approving the draft law without a consensus.

The council chaired by Finance Minister Arun Jaitley was expected to discuss the issue of administrative control of businesses and model GST laws.

After failure to gain consensus on the model GST law on day one of the meeting of the GST Council, the issue is to resolve the contentious point of dual control of assesses under the new indirect tax regime.

The fifth meeting of the Goods and Services Tax (GST) Council, headed by Union Finance Minister Arun Jaitley and comprising state finance ministers, also deliberated on the impact of demonetisation on revenue.