The GST Council chaired by FM Nirmala Sitharaman asked Nandan Nilekani to attend the following three GST Council meetings and share updates of the steps taken as decided by the council.
The 39th GST Council meet chaired by the Finance Minister Nirmala Sitharaman on Saturday sought Infosys, which developed the software for the GST Network (GSTN), to resolve the technical issues faced by the taxpayers while filing in the GST system by July 31, 2020. Infosys Chairman Nandan Nilekani, who was asked for a presentation on the resolution of the glitches, suggested “linking of the details of the statement of outward supplies in FORM GSTR-1 to the liability in FORM GSTR-3B,” to plug tax evasion and gaming of the system due to non-linking of the two forms, according to the statement by the Finance Ministry. Nilekani further suggested linking of the input tax credit in FORM GSTR-3B to the details of the supplies reflected in the FORM GSTR-2A.
According to the Minister of State for finance Anurag Sinha, tax evasion of Rs 70,206 crore has been detected by the central GST authorities for the period July 1, 2017, to January 2020 while Rs 34,591 crore — almost half of the amount was recovered, he said in the Lok Sabha earlier this month. Overall 16,393 tax evasion cases were detected wherein in 336 arrests were made, the finance ministry had said. “Implementation of Aadhaar authentication and spike rules” would also be initiated to check tax evasion.
Nandan Nilekani told the Council that the Coronavirus outbreak has slightly hit the hardware procurement process in order to boost the IT system capacity to concurrently handle 3 lakh taxpayers from 1.5 lakh taxpayers currently. The Council asked Nandan Nilekani to attend the following three GST Council meetings and share updates of the steps decided by the Council to be taken and also help the panel “in taking appropriate decisions on technology-related issues,” the ministry said.
The GST panel also agreed to deploy extra manpower of 60 people on time and material basis for timely implementation of different initiatives. The panel also assured of expeditious approvals to both additional hardware procurement and manpower hiring to ensure the return filing process is smoothened out and IT related problems are resolved on an immediate basis.