With the GST system, he said, no new law is being extended to the state and that things are just being redesigned.“In 1991 the entire economic regime was changed and no state was consulted. Today, even on a change in rate, everybody is consulted. This is the emergence of a new federal India,“ said Drabu, clarifying that there is no conflict between GST council and legislature.“GST council is the first federal institution in the country. In the base year, we along with few other states, the exemptions we have given, have been monetized and put. The state will grandfather its exemptions and center will do it as well,” said Drabu.

Source: Economic Times May 17, 2017 18:56 UTC