Centre allocates more from IGST to itself; states may view this as unfair

The 60:40 formula (in favour of the Centre) for sharing the IGST collections has given the Centre an added advantage in meeting its annual GST target

Collections under the goods and services tax (GST) in April 2019 have inspired many commentators to believe that the revenue shortfalls, seen under this head in all the past months since its inception in July 2017, will soon be a thing of the past. Even some government officials have expressed the hope that Rs 1.14 trillion of GST collected in the first month of the current financial year would help them meet the target set in the interim Budget for 2019-20. 

How realistic are these beliefs and assumptions? The government’s expectations of meeting the target are primarily based on the