Consumer or exchequer - who will win after GST compensation cess expiry?

The Centre could face the challenge of choosing between the consumers and filling its own coffers, once it clears the Goods and Services Tax (GST) loans. With COVID-19 hitting economic activity and tax collections, the Centre had borrowed Rs 1.1 lakh crore in 2020-21 and Rs 1.59 lakh crore in 2021-22 to bridge the deficit in the GST compensation cess fund to ensure that states received the guarant…