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GST Council recommendations not binding on Centre, states: Both can legislate on it says SC

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Google Oneindia News

New Delhi, May 19: The Supreme Court has said that the GST council's recommendations are not binding on the Centre and states. The recommendations only have persuasive value the court also said.

The court said that it gave these findings because India is a cooperative federalism. The judgment was delisted by a bench headed by Justice D Y Chandrachud.

GST Council recommendations not binding on Centre, states: Both can legislate on it says SC

The Bench also held that both the states and Centre can equally legislate on matters of Goods and Service Tax (GST).

Recommendations of GST council are product of collaborative discussion. It is not imperative that one of the federal units must always possess a higher share, the court said. The order of the Supreme Court emphasises on the importance of the principles of cooperate federalism.

Further it said that Article 279A of the Constitution does not begin with a non-obstante clause and Article 246A does not envisage a repugnancy provision. Indian federalism is a dialogue in which state and Centre always engaged in a dialogue the Bench also said.

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