Cabinet clears proposal to make GSTN 100% Govt-owned Co.
PrintListen to this Article
Briefing reporters about the decisions taken in the Cabinet meeting, the finance minister said after restructuring of GSTN, ownership will be equally divided between the Centre and states. Shares for each state will be worked on pro-rata basis.
Currently, the Centre and states together hold 49 per cent stake in the GST Network. The remaining 51 per cent is held by five private financial institutions -- HDFC Ltd, HDFC Bank Ltd, ICICI Bank Ltd, NSE Strategic Investment Co and LIC Housing Finance Ltd.
Jaitley said the policy decision to change the ownership structure of the GSTN was taken earlier and was also approved by the GST Council.
GSTN Board will initiate the process for acquisition of equity held by the private companies.
The existing composition of the board will be changed through induction of three directors from the Centre and the states and three other independent directors to be nominated by the board and one chairman and the CEO. Thus the total number of directors is 11, an official statement added.
The GSTN was incorporated as a private limited company on March 28, 2013 under the UPA government. It is a Section 8 company under the new Companies Act and hence is a not-for-profit entity.
It is to be noted that BJP MP Subramanian Swamy had repeatedly raised questions about the dominance of private companies in the GSTN, terming it "a shady organisation" that was a "grave security" issue. #casansaar (Source - PTI, Economic Times)
Category : GST | Comments : 0 | Hits : 478
TEST
Dear Taxpayers, 1. GSTN is pleased to inform that an enhanced version of the GST portal would be launched on 3rd May 2024. The effort is to improve user experience and ensure that the information you need is accessible and easy to navigate. 2. Key Enhancements Include (PDF with screenshots attached): i. News and Updates Section: We have introduced a dedicated tab for all news and updates. This section now includes a bet...
The Supreme Court on Friday issued notices to the central government, the Central Board of Indirect Taxes and Customs (CBIC), the Goods and Services (GST) Council and the National Anti-Profiteering Authority (its functions have been taken over by the Competition Commission of India) on a petition challenging a Delhi High Court verdict, upholding the constitutional validity of anti-profiteering provisions filed by a real estate company. The petition, filed by Swati Realty, says the high court ...
The delectable Malabar Parota will taste even better with the Kerala High Court ruling that the popular flatbread will attract GST at 5 per cent and not 18 per cent. With this the court has turned down order by the State’s Authority of Advance Ruling (AAR) and Appellate Authority for Advance Ruling (AAAR). Disposing a petition by Kochi-based Modern Food Enterprises, a single judge bench of Justice Dinesh Kumar Singh said if key inputs (cereals, flour, starch, etc) and preparations are s...
A businessman from Delhi was taken into custody by the Noida police for his alleged involvement in a massive Rs 15,000 crore GST fraud that was exposed last year, TOI reported. Tushar Gupta, aged 39 and residing in Tilak Nagar, was arrested as the 33rd suspect in this case. The police revealed that Gupta had exploited input tax credit (ITC) using 35 fake companies, resulting in a loss of Rs 24 crore to the exchequer over the past two years. He was reportedly part of a syndicate that utiliz...
Comments