The Goods and Services Tax (GST) Council arrived at a consensus on contentious issues such as administrative control over tax payers in the new indirect tax regime, thus paving the way for GST to be introduced this year, although three months after the Centre’s original rollout deadline of April 1, 2017. 

Issues with GST and wayouts :
1.    The issue of cross empowerment and dual control was taken.The entire taxation base will be shared between the assessment machinery of the Centre and the States.  90:10 formula was agreed upon for dual control of assessees
As per the formula for dual control of assessees, 90 per cent of those with a GST turnover of Rs. 1.5 crore or less will be assessed for the purposes of scrutiny and audit by the States, and 10 per cent by the administrative machinery of the Centre.
Those above a turnover of Rs. 1.5 crore would be assessed in the ratio of 50:50 between the Centre and the States.

2.    Another area of contention between the Centre and the States was the issue of who would get to collect tax on the economic activities taking place in Indian territorial waters. As per United Nations Convention on Law of seas (UNCLOS), territorial waters extend upto 200 nautical miles. The states have been given right to tax transactions occurring upto 12 nautical miles. (1 nautical mile = 1.853 km)

Way Forward
The Council in the next meet will approve the legislations that need to be cleared by Parliament and it is expected that those would be passed and ratified during the Budget session.