The GST Council will take a cognizance of the falling revenue levels and its deviation from the revenue neutral rate (RNR) in its meeting to be be held on December 18, 2019, according to the agenda note for the meeting accessed by CNBC-TV18.

The agenda note talks about the reasons behind the current decline in revenue, and how government deviated from RNR. The government's GST revenue declined, as current RNR is lower than the rate suggested by then chief economic adviser (CEA) Arvind Subramanian. Subramanian suggested RNR at 15 percent to 15.5 percent. Several late rationalisation exercises has deviated the current rate structure from RNR, leading to shortage of funds, it said.

It suggested some measures to augment revenue collections through either rate rationalisation of cess or cut down items from the exemption list.

GST Council meeting: What's on the agenda

-To take detailed cognizance of falling GST revenue

-To consider broadening I-T tax base, additional resource mobilisation

-To consider improved tax compliance