Bihar Deputy CM Sushil Modi will head the seven-member committee to analyse the revenue shortfall faced by states after the GST rollout.
The shortfall in collection stood between 14-37% in the April-November period for states including Punjab, Gujarat, Goa, Bihar and Himachal Pradesh.
Among the union territories, Puducherry is facing maximum shortfall of 43%.
Only Andhra Pradesh and 5 north-eastern states Mizoram, Arunachal Pradesh, Manipur, Sikkim and Nagaland have recorded revenue increase post the GST roll out.