BANKING AFFAIRS

Detailed explanation-1: -Detailed Solution GST came into effect from 1st July 2017 in India. GST was passed as the 101st Amendment act. The president of India gave assent to the Central GST Law on 12th April 2017. It substituted all indirect tax on the manufacture, sale, and consumption of goods and services throughout India.

Detailed explanation-2: -The Central Goods and Services Tax bill, Integrated Goods and Services Tax bill, Union Territories (without legislature) Goods and Services Tax bill and Goods and Services Tax (Compensation to States) bill have been passed by the Lok Sabha on 29.03.2017 and by the Rajya Sabha on 06.04.2017.

Detailed explanation-3: -States who have suffered any losses due to the GST implementation will receive compensation according to the GST Compensation to States Bill which was passed in March 2017. This is for 5 years starting from the date the state implements the GST Act.

Detailed explanation-4: -As per Article 279A (1) of the amended Constitution, the GST Council has to be constituted by the President within 60 days of the commencement of Article 279A. The notification for bringing into force Article 279A with effect from 12th September, 2016 was issued on 10th September, 2016.