𝗚𝗼𝘃𝗲𝗿𝗻𝗺𝗲𝗻𝘁'𝘀 𝗡𝗲𝘄 𝗜𝗻𝗶𝘁𝗶𝗮𝘁𝗶𝘃𝗲 𝘁𝗼 𝗖𝘂𝗿𝗯 𝗚𝗦𝗧 𝗘𝘃𝗮𝘀𝗶𝗼𝗻..!!

𝟭. 𝗚𝗼𝘃𝗲𝗿𝗻𝗺𝗲𝗻𝘁’𝘀 𝗡𝗲𝘄 𝗜𝗻𝗶𝘁𝗶𝗮𝘁𝗶𝘃𝗲 𝘁𝗼 𝗖𝘂𝗿𝗯 𝗚𝗦𝗧 𝗘𝘃𝗮𝘀𝗶𝗼𝗻 The Central Board of Indirect Taxes and Customs (CBIC) is planning to integrate its existing database of DG (Systems) with that of Goods and Services Tax Network (GSTN).

This move aims to expand the coverage of taxpayer activities and curb tax evasion.

𝟮. 𝗧𝗵𝗲 𝗦𝗵𝗶𝗳𝘁 𝗶𝗻 𝗗𝗮𝘁𝗮𝗯𝗮𝘀𝗲 𝗠𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 Starting from the first week of June, the CBIC is likely to adopt GSTN as the prime database.

Currently, the common GST Portal developed by GSTN functions as the “front-end” of the overall GST-IT ecosystem, while DG (Systems) handles tax administration functions such as refund, investigation, and adjudication by the tax officers.

From June, GSTN will also function as the “back-end”.

𝟯. 𝗧𝗵𝗲 𝗥𝗲𝗮𝘀𝗼𝗻 𝗕𝗲𝗵𝗶𝗻𝗱 𝘁𝗵𝗲 𝗠𝗲𝗿𝗴𝗲𝗿 The main reason for this merger is the CBIC’s intention to curb tax evasion. In FY24, the Directorate General of GST Intelligence (DGGI) detected over 6,074 cases involving evasion of duty of over Rs 2.01 trillion.

This is approximately 10% of the total GST collection in FY24, with a voluntary payment of Rs 26,598 crore, contributing to about 1.4% of total GST collections for FY24.

𝟰. 𝗧𝗵𝗲 𝗜𝗺𝗽𝗮𝗰𝘁 𝗼𝗳 𝘁𝗵𝗲 𝗠𝗲𝗿𝗴𝗲𝗿 The proposed merger of GSTN and DG (Systems) will result in a seamless flow of taxpayer data within one integrated set-up (GSTN), rather than having a two-pronged approach for detecting tax fraud.

This is expected to significantly enhance the efficiency of tax administration and detection of fraud.

𝟱. 𝗟𝗼𝗼𝗸𝗶𝗻𝗴 𝗙𝗼𝗿𝘄𝗮𝗿𝗱 As we move towards a more integrated and efficient system, it is crucial for businesses to stay updated and compliant with the changing tax landscape.

Let’s embrace this change for a more transparent and accountable GST regime. #GST #TaxEvasion #CBIC #GSTN #TaxReform