New Delhi, June 17 (PTI): Sushil Kumar Modi today resigned as chairman of the empowered committee of state finance ministers looking into implementation of the proposed new indirect tax regime — goods and services tax (GST).

“I have demitted my office as deputy chief minister and finance minister, Bihar. I have also resigned from the post of chairman, empowered committee of state finance ministers,” he stated in a letter to Union finance minister P. Chidambaram.

In his letter, Modi pleaded for early payment of GST compensation to states to build the trust between states and Union. He also emphasised on early rollout of GST, which has missed several deadlines, mostly on account of differences between the states and the Centre over central sales tax compensation and design of the GST structure.

Monday’s development could delay implementation of GST further as the new chairman would have to start afresh, building consensus among all states.

In 2011, Modi replaced former West Bengal finance minister Asim Dasgupta, who had to quit following the Left Front’s defeat in his state’s assembly elections.