Odisha became the 16th state to have passed the landmark tax reform.
In a special sitting of the state assembly, Chief Minister Naveen Patnaik moved a resolution on ratification of the GST bill, which was passed after hours long discussion.
The Chief Minister thanked the members of the assembly for supporting the resolution.
He said the GST would bring about comprehensive reform in the indirect tax regime across the country.
The Chief Minister said: "A number of benefits are expected to accrue not only to the central and state governments but also the consumers, business, and industries from the changeover to the Goods and Services Tax system."
Leader of Opposition Narasingh Mishra argued for a capping on the GST rate for the benefit of the poor.
"I appeal to the government to protect the interest of the poorest of poor people," said Mr Mishra.
The Constitution (122nd Amendment) Bill, 2014, on the GST was passed by parliament in August and it needs to be ratified by at least 15 state legislatures before the President can notify the GST Council which will decide the new tax rate and other issues.
The central government has set a target to roll-out the GST Act on April 1, 2017.