VOL. 10 | NO. 43 | FRIDAY 28 AUGUST 2020 | WARANGAL | PAGES 8 | `5.00 www.thehansindia.com Forecast: A few tstorms. Broken clouds. Temp: Max.33°C. Min.23°C. Humidity: 67% Sunrise: 05:56 Sunset: 06:28 H Simultaneously published from Hyderabad | Warangal | Tirupati | Amaravati | Visakhapatnam | Khammam | Kurnool | Delhi H H Follow @ WINDOWS /thehansindia | /thehansindiaweb | /thehansindia | /thehansindia | /thehansindia H States stare at `2.35-lakh crore revenue shortfall GST TALE OF 2 OPTIONS Lok Sabha Speaker Om Birla chairing a meeting of Secretary-Generals of Lok Sabha and Rajya Sabha along with representatives of CPWD and NDMC over arrangements for upcoming Monsoon Session, in New Delhi on Thursday Very dangerous hurricane makes landfall in US Houston: Hurricane Laura made landfall in southwestern Louisiana early Thursday after strengthening into an "extremely dangerous" Category 4 classiﬁcation, with the US authorities warning of potentially catastrophic impacts. The National Hurricane Center said that Laura, packing 240 km per hour sustained winds, brought a "catastrophic storm surge, extreme winds and ﬂash ﬂooding" to the state. It intensiﬁed rapidly into a Category 4 hurricane as it barreled toward the Louisiana and Texas coasts and was on the verge of becoming a Category 5, the most powerful classiﬁcation, when it hit land. Laura made landfall as a Category 4 storm, but it has since weakened to a Category 2. China tests 2 deadly missiles successfully Washington/New Delhi: Just before the US imposed a visa ban on Chinese government members in response to the militarization of the South China Sea, Beijing had ﬁred two missiles, including an 'aircraft-carrier killer', into the disputed sea. As per a South China Morning Post (SCMP) report, China ﬁred one intermediate-range ballistic missile, DF-26B, from Qinghai province and another mediumrange ballistic missile, DF-21D, from Zhejiang on Wednesday into the sea, provoking the US to take an unprecedented action against the Chinese Communist Party (CCP) regime, People's Liberation Army (PLA) and their businesses. NATION 78 PER CENT PARENTS WILLING TO LOSE YEAR OF WARDS’ SCHOOLING P7 SPORTS DHONI IS MOST INSPIRATIONAL CAPTAIN IN 50 YEARS OF GLOBAL CRICKET: CHAPPELL P8 New Delhi: Amid a chorus by non-NDA ruled states for compensation of GST revenue shortfall, the Centre on Thursday presented two options to states under which they can borrow from the market to make up for the estimated deﬁcit of Rs 2.35 lakh crore this ﬁscal. At the end of a ﬁve-hour long meeting of the GST Council, Union Finance Minister Nirmala Sitharaman said there was no proposal to raise tax rates to make up for the shortfall that has been compounded by the Covid-19 pandemic. Citing a legal opinion from the Attorney General, she ruled out the Centre making good the shortfall from either its coffers or borrowing against its balance sheet. The deﬁcit can be made good by states borrowing using a special window, she said, adding that this loan can be repaid after ﬁve years from the collection of GST cess. If states agree to either of the options, it would effectively mean that cess would continue beyond ﬁve years of the GST rollout. In 2017, all states agreed to subsume their local taxes such as VAT into the new, nationwide Goods and Services Tax (GST) in return for the Centre promising to make good any loss of revenue in the ﬁrst ﬁve years. Continued on Page 5 WE ARE NOT HAPPY WITH OUTCOME, SAYS CONG Union Finance Minister Nirmala Sitharaman chairs the 41st GST Council meeting via video conferencing, in New Delhi, on Thursday. MoS for Finance Anurag Thakur is also seen ‘ACT OF GOD’ Covid may lead to economic contraction: FM New Delhi: The Centre on Thursday placed before the GST Council two options for borrowing by states to meet the shortfall in GST revenues, pegged at Rs 2.35 lakh crore in the current ﬁscal. Brieﬁng reporters after the 41st meeting of the GST Council, Union Finance Minister Nirmala Sitharaman said the economy is facing an extraordinary ‘Act of God’ situation that may result Dairy plan for STs on the anvil HANS NEWS SERVICE Mahabubabad: Plans are afoot for promoting dairy development in Mahabubabad and Dornakal constituencies, Minister for Women Development and Tribal Welfare Satyavathi Rathod revealed in a videoconference on Thursday. The Tribal Welfare Minister said that the Rs 10-crore dairy development project that gives a ﬁllip to the tribals would be launched in Mahabubabad and Dornakal on a pilot basis. Later, the project would be implemented in other areas where the tribal population is predominant, she added. Distribution of milch cattle to tribal dairy farmers and conversion of single phase electric- ity supply to three phase and other works would be taken up with Rs 163.67-crore tribal special development funds, the minister said. The conversion of electricity supply from single phase to three phase in 2,221 Girijan villages would be taken up with an estimated cost of Rs 117.82 crore initially, Rathod said. In all, the government has allocated Rs 300 crore for the purpose, she added. The minister directed the Tribal Welfare Department Commissioner and Secretary Christina Z Chongthu, Finance Department Secretary Sridevi, NPDCL CMD Annamaneni Gopal Rao, TSIDC Director Vidyasagar and other ofﬁcials to ensure the plans were implemented as early as possible. in an economic contraction. As per the Centre's calculation, the compensation requirement by the states in the current ﬁscal would be Rs 3 lakh crore, of which Rs 65,000 crore is expected to be met from the cess levied in the GST regime. Hence, the total shortfall is estimated at Rs 2.35 lakh crore. Revenue Secretary Ajay Bhushan Pandey said that of this estimate, Rs 97,000 crore is on account of GST shortfall, while the rest is due to the impact of coronavirus. "The compensation gap which has arisen this year (expected to be Rs 2.35 lakh crore), is due to coronavirus as well. The shortfall in compensation due to the implementation of GST has been estimated to be Rs 97,000 crore," he said. Continued on Page 5 New Delhi: The Congress Thursday said it was "dissatisfied" with the outcome of the GST Council meeting and accused the Centre of adopting a majoritarian approach and thrusting "solutions" on states. The Finance ministers of Congress-ruled states are not happy with the outcome of GST Council meeting as decisions were thrust upon them by the Centre, Punjab's FM Manpreet Badal said at a virtual press conference after the GST Council meeting. "We are not happy at the outcome. But, we have no choice," he said. Puducherry Chief Minister V Narayanasamy, who represented the Union Territory at the meeting as he also holds the finance portfolio, said it is unfortunate the Centre was not helping the revenue-starved states by honouring its commitment to pay them GST compensation at 14 per cent. Harish Rao at GST virtual meet Clear ` 5,420 cr GST dues ﬁrst, says Harish Rao S S FM proposes two options to States S Option 2: Borrow Option 1: entire Rs 2.35 lakh A special crore shortfall window for under the window States to S TS to submit its borrowing Rs 97,000 crore objections within a week to GST at reasonable council interest HANS NEWS SERVICE Hyderabad: The Government of Telangana State has strongly opposed the proposal made by Union Finance Minister Nirmala Sitharaman that the States should borrow to make up for the shortfall in the tax revenues that have been compounded by the Covid-19 crisis which according to her was an ‘Act of God’. Participating in the 41st GST council meeting, which was held through Don’t delay NEET, JEE exams further Over 150 academicians write to PM New Delhi: Over 150 academicians from various universities in India and abroad have written to Prime Minister Narendra Modi, saying that delaying JEE-Mains and NEET any further will mean compromising the future of students. "Youths and students are the future of the nation but in wake of the COVID -19 pandemic, clouds of uncertainty have gathered over their careers too. There are many apprehensions about admission and classes which need to be resolved at the earliest," they said in their letter. The signatories include academicians from the Delhi University, IGNOU, Lucknow University, JNU, BHU, IIT Delhi and Indian academicians from foreign universities such as University of London, University of California, The Hebrew University of Jerusalem and Ben Gurion University, Israel, among others. Continued on Page 5 Amid row, over 14L aspirants download admit cards New Delhi: Amid calls to postpone the JEE (Mains) and NEET (UG) examinations, over 14 lakh aspirants have already downloaded the admit cards till Wednesday evening after the National Testing Agency (NTA) released them. JEE Mains exam 2020 will be held from September 1 to 6, while the NEET (UG) exam 2020 will be held on September 13. For JEE (Main), 7.41 lakh out of 8.58 lakh aspirants have downloaded the admit cards. Delay will lead to ‘zero year’, say IIT heads New Delhi: Further delay in conducting medical and engineering entrance exams NEET and JEE will lead to a 'zero academic year' and any quick alternative to the crucial exams will dilute the quality of education and have cascading ef- fects, according to Directors of several Indian Institutes of Technology (IITs). Amid the chorus for postponement of the two exams in view of the rising COVID-19 cases, the IIT Directors appealed to students to trust the institutions conducting the exam. "The pandemic has already disrupted the academic plans of many students and institutions and we don't see the virus going away anytime soon. We should not let this be a zero aca- SC rejects plea to carry out Muharram procession New Delhi: The Supreme Court on Thursday declined permission for carrying out Muharram procession across the country and asked Lucknow-based petitioner to move before the Allahabad High Court with his plea. The apex court said how it can pass a general order for the whole country. A bench comprising Chief Justice S A Bobde and Justices A S Bopanna and V Ramasubramanian said it would lead to chaos and targeting of a particular community. “You are asking for a gen- video-conference with ﬁnance ministers of all the States, Nirmala Sitharaman stated that the corona pandemic had hit the Goods and Services Tax (GST) collection where the shortfall is Rs 2.35 lakh crore. The two options before states are: Option 1 -- A special window can be provided to the States, in consultation with the Reserve Bank of India, at a reasonable interest rate for borrowing of Rs 97,000 crore. Continued on Page 5 eral order and then if we allow this, there will be chaos. Particular community will be targeted for spreading Covid. We don't want that. We as a court cannot risk the health of all the people,” the bench, which heard the matter through video conferencing, said. The bench allowed the petitioner to withdraw the petition with the liberty to approach the High Court with limited prayer of holding procession in Lucknow. The apex court was hearing a PIL was filed by Shia leader Syed Kalbe Jawad. demic year as it might have consequences on the bright future of several students," said IIT Roorkee Director Ajit K Chaturvedi. He also said students and their parents need to have faith in the system. Continued on Page 5 SC for revisiting 2004 verdict on caste sub-classification New Delhi: The Supreme Court on Thursday disagreed with its 2004 Constitution Bench judgement, which ruled against giving preferential treatment to certain subcastes within Scheduled Castes. The top court said this judgement needs to be revisited. A five-judge bench headed by Justice Arun Mishra, and comprising Justices Indira Banerjee, Vineet Saran, M R Shah and Aniruddha Bose, said it is essential to reconsider the 2004 verdict in the E V Chinnaiah case and, this matter should be placed before Chief Justice S A Bobde for appropriate direction. Continued on Page 5
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