The Government has approved a proposal to set up an IT platform to integrate Central and State indirect tax regime in the context of implementation of Goods and Services Tax (GST) in the context of implementation requires a strong IT Infrastructure and Service backbone to enable capture, processing and exchange of information amongst the various stakeholders in GST which includes tax payers, Central and States Governments, Banks, RBI etc.
The government has approved creation of a Special Purpose Vehicle to be called Goods and Services Tax Network (GSTN SPV) which would primarily be responsible for implementation and sustenance of the GST IT Infrastructure. The GSTN SPV would, inter alia, host a portal that could be shared by all the States and the Centre and which will act as an IT platform to integrate Central and State indirect tax regime. The necessary documents for the incorporation of the GSTN SPV (Articles of Association and Memorandum of Association) are being finalized.
The integration of Central and State indirect tax regime would benefit the tax payers by providing them standard and uniform interface. It would also assist in creating a national level ‘Unique and Shared” Tax Payer registration database.
This was stated by the Minister of State for Finance, Shri S.S. Palanimanickam in written reply to a question in the Rajya Sabha today.
Source- PIB
