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With reference to the GST Compensation, consider the following statements:
1. The Ministry of Finance has recently released ₹44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.
2. The total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is ₹1,59,000 crore.
Which of the statements given above is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'C'. Can you explain this answer?
Verified Answer
With reference to the GST Compensation, consider the following stateme...
The Ministry of Finance has released ₹44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.
  • After taking into account earlier release of ₹ 1,15,000 crore (₹ 75,000 crore released on 15th July, 2021 and ₹ 40,000 crore released on 07th October, 2021), total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is ₹1,59,000 crore.
  • This release is in addition to normal GST compensation being released every 2 months out of actual cess collection.
  • Subsequent to the 43rd GST Council Meeting held on 28.05.2021, it was decided that the Central Government would borrow ₹1.59 lakh crore and release it to States and UTs with Legislature on a back-to-back basis to meet the resource gap due to the short release of Compensation on account of inadequate amount in the Compensation Fund.
  • Hence both statements are correct.
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With reference to the GST Compensation, consider the following statements:1. The Ministry of Finance has recently released 44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.2. The total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is 1,59,000 crore.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer?
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With reference to the GST Compensation, consider the following statements:1. The Ministry of Finance has recently released 44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.2. The total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is 1,59,000 crore.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer? for Current Affairs 2024 is part of Current Affairs preparation. The Question and answers have been prepared according to the Current Affairs exam syllabus. Information about With reference to the GST Compensation, consider the following statements:1. The Ministry of Finance has recently released 44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.2. The total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is 1,59,000 crore.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for Current Affairs 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for With reference to the GST Compensation, consider the following statements:1. The Ministry of Finance has recently released 44,000 crore to the States and UTs with Legislature under the back-to-back loan facility in lieu of GST Compensation.2. The total amount released in the current financial year as back-to-back loan in-lieu of GST compensation is 1,59,000 crore.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'C'. Can you explain this answer?.
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