GST ECOSYSTEM GST ECOSYSTEM THE IT BACKBONE OF

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GST ECOSYSTEM

GST ECOSYSTEM

GST ECOSYSTEM : THE IT BACKBONE OF GST I. III. The GST Eco –

GST ECOSYSTEM : THE IT BACKBONE OF GST I. III. The GST Eco – system project is a unique and complex IT initiative. It is unique as it seeks , for the first time to establish a uniform interface for the taxpayer and a common and shared IT infrastructure between the center and states. Integrating 36 disparate system, which were at different levels of maturity would have been too complex. Besides GST being a destination based tax, interstate trade of goods and services {IGST} would need a robust settlement mechanism amongst the states and the centre. This is possible only when there is a strong IT infrastructure and service backbone which enables capturing, processing and exchange of information amongst the stakeholders.

PARTICIPANTS OF GST ECOSYSTEM The rollout of GST is collective effort of Central and

PARTICIPANTS OF GST ECOSYSTEM The rollout of GST is collective effort of Central and State Governments, the tax payers and the IT platform provides that is GSTN, CBEC and state departments. MAIN PATICIPANTS I. Stakeholders II. Central and State tax authorities III. RBI IV. Banks V. Tax professionals [ tax return prepares, CA’s Tax Advocates, STPs etc. ] VI. Financial service providing companies like ERP companies VII. Tax accounting software providers

The tax payers should have choice to use third party applications which can connect

The tax payers should have choice to use third party applications which can connect with GST Eco-System. Majority of GST system functionalists related to taxpayers GST may use GST APIS and enrich and enhance the taxpayer experience. THE BENEFITS OF API { Application Programme interface } BASED INTEGATION ARE : Consumption across technologies and platforms { mobiles , tablets , desktops } Automated upload and download of data. Ability to adapt to changing taxation and others business rules and end user usage models.

GSTIN { GOODS AND SERVICE TAX NETWORK } Goods and services tax network {GSTIN

GSTIN { GOODS AND SERVICE TAX NETWORK } Goods and services tax network {GSTIN } is a non – government , private limited company. It was incorporated on march 28 2013 , the government of India holds 24. 5% equity in GSTIN and all states of Indian Union , including NCT of Delhi and Puducherry , and the empowered committee of state finance ministers , together holds another 24. 5%. Balance 51% equity is with non government financial institution. The company has been set up primarily to provide IT infrastructure and services to the central and state government , tax payers and others stakeholders for implementation of the good and services tax.

SCOPE To become a trusted national information utility which provides reliable , efficient and

SCOPE To become a trusted national information utility which provides reliable , efficient and robust IT backbone for the smooth functioning of the Goods and Services Tax regimen enabling economic agents to leverage the entire nation as one market with minimal indirect tax compliance cost. OBJECTIVES Provides common and shared IT infrastructure and services to the central and state government tax payers and others stakeholders for implementation of the Goods and Services.

Provides common registration , returns and payers services to the tax payers. Partners with

Provides common registration , returns and payers services to the tax payers. Partners with other agencies for creating an efficient and user friendly GST Eco system. Encourage and collaborates with GST suvidha providers to all out GST application for providing simplified services to the stakeholders. Carry out research , study best practices and provides training and consultancy to the tax authorities and other stakeholders. Provides efficient backend services to the tax department of the central and states tax on request. Develop tax payers profiling utility for central and states tax administration.

FEATURES OF GSTIN has crafted a series of services and technological tool to ensure

FEATURES OF GSTIN has crafted a series of services and technological tool to ensure that paying taxes and filling returns becomes convenient for the last common denominator. Checking of claim of inputs tax credit is one of the fundamentals pillars of GST , for which data of business to business invoices have to the uploaded and matched. GSTIN has as already released template of excel sheet in which taxpayers can keep the business data at invoice level. The tool can pull 19000. Line items from excel sheet to generate 5 MB files.

 The tool can be used multiple times to upload data for creating GSTR

The tool can be used multiple times to upload data for creating GSTR – 1. The common GST portal created and managed by GSTIN will do this matching on the basis of invoice level data filed as part of returns by all taxpayers. GSTIN will created and maintain the information in IGST based on returns of taxpayers , the data will be used for settlement of funds between Centre and states. Similar exercise will be done for interstates supplies where goods or services will move from the states of origin to the states of consumption and so will the taxes.

GST SUVIDHA PROVIDER A GSP is considered as an enabler for the tax payer

GST SUVIDHA PROVIDER A GSP is considered as an enabler for the tax payer to comply with the provisions of the GST law through its web platform. GST suvidha provider is appointed by GSTN to provide tax payers another innovative and convenient ways for interacting with GSTN system. A GSP would provide services of registration, uploading invoice details and filing GST return. ZA GSP will provide a portal for doing above tasks and may also provide API’s for the same to be integrated into the tax payer application. Tax payer would be connected to GST server through GSP servers.

API APPLICATION PROGRAMME INTERFACE It takes the data request from the client machine and

API APPLICATION PROGRAMME INTERFACE It takes the data request from the client machine and takes it to the server, identifies the data from the server and bring it back to the client machine.

SERVICES PROVIDED BY GSP’S AND ASP’S It is expected that the GSP shall provide

SERVICES PROVIDED BY GSP’S AND ASP’S It is expected that the GSP shall provide the tax payers with all services mentioned above in addition to maintaining their individual business ledgers and other value added services around the same. Another important service expected from the GSP is automatic reconciliation of purchase made and entered in purchase register and data downloaded in the form of GSTR-2 from the GST portal. The conceptual diagram depicting the same is given below.

GST ECO SYSTEM WEB PORTAL MOBILE APP • • • Registration Challan generation Invoice

GST ECO SYSTEM WEB PORTAL MOBILE APP • • • Registration Challan generation Invoice uploading Return filling ledger ACCOUNTING PACKAGE ERP CUSTOM APPS GSP/ GST SERVER

GST COMMON PORTAL Under section 2(26) of the CGST ACT 2017: “common portal” means

GST COMMON PORTAL Under section 2(26) of the CGST ACT 2017: “common portal” means the common goods and services tax electronic portal referred to in section 146”. Section 146 of the CGST ACT, 2017 states that : The govt. on the recommendations of the GST council, may notify the common goods and services tax electronic portal for facilitating registration, payment of tax. Furnishing of returns, computation and settlement of integrated tax, electronic way bill and for carrying out such other functions and for such other purposes as may be prescribed.

GST COUNCIL v v v GST council has already been explained in detail in

GST COUNCIL v v v GST council has already been explained in detail in chapter – process of implementation of GST. Kindly this chapter for detailed information on the GST council. OTHER PARTICIPANTS CBEC Central board of excise & customs: Custodian of the center's fiscal destiny for indirect taxes. Roll in policy making : drafting of GST law , rules & procedures of CGST , UTGST , & IGST law. Assessment , audit , anti evasion & enforcement under CGST & IGST. Levy & collection of custom duties. Developing linkages of CBEC – GST system with GSTIN. Training of officials of both Centre and state.