Punjab Demands Release of Rs 50,000 Crore Amid GST Dispute

The Punjab government, led by the Aam Aadmi Party, has called for the immediate release of Rs 50,000 crore from the Centre, citing massive revenue losses since the GST's implementation. Finance Minister Harpal Singh Cheema criticized the central government, alleging deliberate harm to state economies.

In an escalating dispute over the Goods and Services Tax (GST), the Punjab government, led by the Aam Aadmi Party (AAP), has demanded the immediate release of Rs 50,000 crore, reportedly withheld by the Centre. Punjab Finance Minister Harpal Singh Cheema highlighted the state's massive fiscal losses, which he claimed amounted to over Rs 1.11 lakh crore since GST's introduction.

Singh Cheema criticized the central government's handling of GST and accused the Bharatiya Janata Party (BJP) of disrupting state economies to enforce financial dependency on the Centre. He emphasized that the compensations have been scrapped, leaving states, including Punjab, financially vulnerable and forced to seek support from the central administration.

Detailing the state's financial plight, the Finance Minister explained Punjab's revenue losses attributable to GST rate adjustments and alleged bias in tax collections. He pointed out that revenue promised to states, including funds under the Rural Development Fund, has been withheld. The minister called for an urgent resolution to these issues, insisting that the central government fulfill its financial commitments to the states.

(With inputs from agencies.)