Skip to main content

Govt begins move to increase stake in GST Network

By
Govt begins move to increase stake in GST Network
The demand that the state take control of GSTN is a long-pending one, and is also prompted by fears that sensitive GST data should not reside in private hands.The process of the government acquiring controlling stake in the Goods and Service Tax Network (GSTN) has been put in motion, government officials familiar with the matter said, asking not to be identified.
According to them, finance minister Arun Jaitley has approved the increase of the stake of the central government and the state governments in GSTN to at least 60% from the current 49%, to address fears that the ownership of a company that handles the IT infrastructure and systems related to the Goods and Services Tax, should reside with the state.Currently, 51% of the ownership of GSTN is with private financial institutions.
The demand that the state take control of GSTN is a long-pending one, and is also prompted by fears that sensitive GST data should not reside in private hands. Several politicians, cutting across party lines, including some from the Bharatiya Janata Party have questioned the wisdom of the control of a critical cog in India’s tax process being vested with private entities.
Jaitley, who is back home after his medical treatment , could still undergo surgery in a few weeks, but has started reviewing files, the officials said. They added that he is of the opinion that the government should be the repository of the data provided by companies so that there is no fear of a data breach.
The current shareholding pattern of GSTN is: central government (24.5%), states (24.5%), HDFC (10%), HDFC Bank (10%), ICICI Bank (10 %), NSE Strategic Investment Company (10 %) and LIC Housing Finance Limited (11 %).
GSTN has been set up primarily to provide IT infrastructure and services to the Central and State Governments, tax payers, and other stakeholders for implementation of the unified Goods and Services Tax. The authorised capital of the company is Rs 10 crore and UIDAI chairman Ajay Bhushan Pandey is its chairman.
The Hindustan Times, New Delhi, 10th April 2018

Comments

Post a Comment

Popular posts from this blog

Data storage norm splits digital payments industry

By
Data storage norm splits digital payments industry  India’s nascent digital payment industry could be thrown into disarray due to the demand by the Reserve Bank of India (RBI) that all user data be stored within the country, fears an industry grouping, which has termed the decision as “heavy-handed”, even as others, including the country’s largest digital payment provider Paytm, have hailed the move.  In a bid to narrow the growing schism, the industry is planning to send a formal representation to the regulator highlighting its concerns, a top official told ET.  “We are trying to build a consensus on the issue," said the person adding that the representation to the central bank will be ready this week.  RBI on April 6, mandated all payment companies—global and local—to set up data storage facilities within India by October. The stringent six-month deadline has attracted the ire of several sections of the industry that fear it will lead to a disruption of wel...
18 comments
Read more

Offer’s for all of you

By
Great Bumper Dhamaka Offer’s for all of you... It's Time to see your Business Online, WebeCreator Offer Website Designing with domain & Email @ nominal charges. For a year For More information visit us http://goo.gl/KlpppF call on 9890151261/9773197533  drop a mail to sales@webecreator.com
Post a Comment
Read more

Sebi to finalise options in commodities today

By
The Commodity Derivatives Advisory Committee of the Securities and Exchange Board of India ( Sebi) will meet on Friday with senior officials of the latter, to give a final shape to the rules on options trading in commodity futures, beside revising the warehousing norms to ensure good delivery on settlement. The decision taken, after discussing with the advisory committee, will be placed before the regulator’s board, to finalise the regulations. According to knowledgeable sources, three commodities in each segment, agricultural and non- agricultural, have been proposed for introducing options. It appears commodities from the soya and guar segments are preferred in the former. From the non- agri segment, it is likely that gold, silver and crude oil will be finalised. All these These have better liquidity and both the National Commodity and Derivatives Exchange and the Multi Commodity Exchange, respectively, will be able to introduce the options. In the equity segments, options ar...
17 comments
Read more