Whatever award the FFC had to give for 2020-21 that was already in the report submitted to the President for 2020-21. The pandemic will have lasting impact on deficits, consolidation plans and fiscal balance of the Centre and the States. Our report for the first year [2020-21] of the six-year award period, had stayed the course with 42%. Therefore, it has necessitated us to go back to the drawing board to reconsider whatever we had assigned in the 2020-21 report. Since there is no provision for the States’ GST compensation liabilities to be made from the Consolidated Fund of India, it would be atrocious to even suggest that.

Source: The Hindu September 14, 2020 17:07 UTC