Explanation: The 101st Amendment Act of 2016 paved the way for the introduction of a new tax regime (i.e., goods and services tax – GST) in the country.

• The smooth and efficient administration of this tax requires co-operation and coordination between the centre and the states.
• To facilitate this consultation process, the amendment provided for the establishment of Goods and Services Tax Council or the GST Council.

Source: Laxmikanth’s Polity