Enter GST - First Step to GST Council
NOW that the Constitution Amendment to bring in GST is a fact, the next step in the long journey is to notify the date from which the provisions of the Amendment Act are made effective.
As per Section 1(2) of the Constitution Amendment Act 2016, It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint, and different dates may be appointed for different provisions of this Act and any reference in any such provision to the commencement of this Act shall be construed as a reference to the commencement of that provision.
Thus, even though the constitution is amended, the provisions will come into force only when the Central Government notifies them.
In exercise of this power to notify, the Government has notified that Section 12 will come into effect from today - 12th September 2016.
Section 12 starts with - "The President shall, within sixty days from the date of commencement of the Constitution (One Hundred and First Amendment) Act, 2016, by order, constitute a Council to be called the Goods and Services Tax Council."
So, the GST Council has to be constituted within sixty days from today - before 11th November 2016. What will happen if it is not so constituted?