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Pvt players to get stake in GST entity
January, 04th 2012

Private players will be offered 51% stake in the special purpose vehicle for GST in IT infrastructure to ensure that all stakeholders under GST have a say on the networks operation. The Centre and state governments will own 24.5% each in the SPV.

The proposed goods and service tax network (GSTN) will provide interface to all stakeholders and avoid evasion in indirect taxation systems once the GST comes into place. According to sources, no corporate or group would be allowed to have more than 20% stake in the SPV so that the Centres holding could remain the highest. The NSDL has been given the task to engage private players for the IT infrastructure. We are preparing a Cabinet note for GSTN. After getting the Cabinets nod, the IT infrastructure for the GST could be prepared, a finance ministry official said.

After the Cabinets go-ahead, pilot projects would start running. Through these pilots..

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