Jaya opposes GST Bill: Will encroach on state powers

Accusing the Centre of trying to bulldoze the Constitution (115th Amendment) Bill,2011,now before the Standing Committee on Finance,through Parliament,she said in a letter to Singh that this piece of legislation encroaches upon the powers vested with the states by the Constitution.

Noting that sales tax was the only major source of revenue for states,she said any tax reform driven by the Centre should neither reduce revenue from this source,nor adversely affect the fiscal autonomy of the states. Approval of this Bill by any of the states will amount to entering into an unknown territory fraught with risk and uncertainty, she said.