The GSTN (Goods and Services Tax Network) is a non-profit, non-governmental organization. It will oversee the whole IT infrastructure of the GST portal, which serves as the central database for all things GST. The government will utilize this platform to track every financial activity and give taxpayers all services from registration to tax filing and record keeping.
The GSTN is owned 51 percent by private investors and the remainder by the government. The GSTN's authorized capital is Rs 10 crore (US$1.6 million), with the Central and State governments each owning 49 percent of the shares and private banks owning the rest.
A non-recurring award of Rs 315 crores has also been authorized for the GSTN. Infosys was awarded the contract to create this massive technology backbone in September 2015. Mr. Navin Kumar, an Indian Administrative Service officer (1975 batch), chairs the GSTN. He has held many top roles with the governments of Bihar and India.
The GSTN is a dependable National Information Utility (NIU) that provides a dependable, efficient, and resilient IT backbone to ensure the seamless operation of GST in India.
The Goods and Services Tax (GST) is a destination-based tax. Given the vast amount of transactions throughout India, the adjustment of IGST (for inter-state commerce) at the government level (Centre & various states) would be exceedingly difficult. Only when there is a robust IT infrastructure and service backbone that gathers, processes, and exchanges information will a speedy settlement mechanism between the states and the center be conceivable.
The government will maintain strategic control over the GSTN in order to keep all taxpayers' information safe and secure. The Central Government will have control over the composition of the Board, mechanisms of special resolution and shareholders agreement, and agreements between the GSTN and other state governments. Furthermore, the ownership arrangement is such that the government owns 49 percent of the company, significantly more than anyone private entity.
The Central Government and the State Governments shall pay the user fees in equal proportion (50:50) on behalf of all users. The state component will subsequently be allocated to individual states in proportion to the number of taxpayers in each state.
GSTN serves as the foundation for the common portal, which serves as the interaction between taxpayers and the government. From registration through return filing, the complete GST procedure is done online. It must accommodate around 3 billion invoices every month, as well as the following return submission of 65 to 70 lakh individuals.
The GSTN will deal with:
1. Invoices
2. Various returns
3. Registrations
4. Payments & Refunds
Case Law for e-way bills, Registrations Input Tax Credit under GST
Input Credit Availment Criteria-GSTR 3B Return
COIN - GST RATES HSN CODE 7118
