Welcoming the Supreme Court judgment that the recommendations of the GST Council were not binding on the Centre and States, State Finance Minister Palanivel Thiaga Rajan said the verdict safeguarded States’ rights at a press meet held on Thursday.
He said the Supreme Court had held that the GST Council was a only a recommendatory body and could not supersede the State’s rights and power to enact laws with regard to the Goods and Services Tax (GST). The State too had powers to enact laws. The council could only make recommendations, and the decision was not binding on the Centre and the State.
Mr. Thiaga Rajan said the decision of the GST Council does not become law, and referring to Articles 279 A and 246 A of the Constitution, he added that the State had the powers to make laws with regard to GST.