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GST cut: Premature to say states will lose out
Financial Express Kochi
|September 05, 2025
When asked about states concerns over revenue losses due to GST rate rationalisation, Nageswaran said, "We should also realise that in 2021, if we were in the old system, states would not have had any protection whatsoever with the GST collapse that happened.
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Had they been in the old system and they were collecting their own sales tax revenues, there would have been no backup for that, whereas the 14% guarantee of GST gave them the cushion."
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