Finance Minister Arun Jailtley on Wednesday said that the major gaps in the GST negotiations are related to the definition of the word 'territory', cross-empowerment and (dual) control.
All the three issues are part of the IGST or interstate GST that concerns sharing of administrative over goods are services sold in more than 1 jurisdiction. The IGST has 11 chapters of which 10 have been approved. "Some issues remain open, and are in the process of being discussed," said Mr jaitley.
He also spoke about his meeting with the representatives of the Information Technology sector, where the industry raised a similar issue and requested a single registration under GST law even though data of software programming may initiate from multiple jurisdictions.
Mr Jaitley informed about the demand of the state governments in various coastal activities like fishing.
"Area within 12 nautical miles part of Indian Territory, whose territory is it? Some states have fishing rights in that area but customs and service tax are charged by the government of India," said Mr Jaitley.
The GST council, headed by Finance Minister began its two-day meeting on Tuesday to discuss the contentious issue of sharing of administrative powers between the centre and the state governments.
The differences over the sharing of administrative powers have prevented the GST Council to come to an agreement over supporting legislations for GST, which will unify the country into a common market.
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