New Delhi, Aug 24 (IBNS) Union Finance Minister P. Chidambaram on Friday said that the goods and services tax (GST) is a more effective and efficient substitute for plethora of indirect taxes.
The Finance Minister said that he is hopeful that the GST Bill would be passed before the end of the current financial year.
Chidambaram was addressing the Third Meeting of the Consultative Committee attached to the Ministry of Finance, here on Friday.
The subject matter of the discussion was "GST-the Way Forward'.
Chidambaram said though there are still some issues relating to GST and its Network (GSTN) to be resolved, yet they are not insurmountable.
The Finance Minister said that the objective is to put in place an effective and efficient tax system which is friendly and fair to the taxpayers.
He said once GST is implemented, it will not be adversarial to the taxpayers.
Earlier, a presentation was made on the GST Network system by the officials of Central Board of Excise and Customs.
As part of the mandate, the Empowered Group (EG) on IT Infrastructure for GST recommended the IT strategy for GST and the appropriate structure and roadmap for creation of an SPV to be called the Goods and Services Tax Network to deliver the required IT services for GST implementation.
The key objectives of GSTN SPV would be to provide standard and uniform interface to the tax payers, share infrastructure and services to Central/State Governments.
The common and shared infrastructure for GST would also be leveraged for providing benefits to Centre/States, even prior to roll-out of GST.
The Empowered Committee of State Finance Ministers (EC) and the Union Finance Minister endorsed the recommendations of EG on the IT strategy for GST, the structure and role of GSTN SPV, as also the selection of NSDL as technology partner for incubating SPV.