HDFC Bank to sell its entire stake in Goods & Services Tax Network

Source : ANI
Author : ANI
Last Updated: Fri, Aug 30th, 2019, 19:11:56hrs
HDFC Bank to sell its entire stake in Goods & Services Tax Network
Mumbai (Maharashtra): HDFC Bank has agreed to sell its entire 10 per cent stake in the Goods and Services Tax Network (GSTN) consisting of ten lakh equity shares of Rs 10 each for a total consideration of Rs 1 crore to various state governments and Union Territories.

The transferees are governments of Rajasthan, Sikkim, Karnataka, Andhra Pradesh, Meghalaya, Bihar, Nagaland, Himachal Pradesh, Puducherry, Mizoram, Uttarakhand, Haryana and Assam.

GSTN is a non-profit organisation for facilitating the collection of Goods and Services Tax (GST). The GST Council in its 27th meeting on May 4 last year decided to convert GSTN into a 100 per cent government-owned entity by transferring 51 per cent equity shares held by non-government institutions to the Centre and states equally.

On September 26 last year, the Union Cabinet approved the proposal. By this year-end, all formalities including the transfer of consideration by various transferees will be complete, the bank said in a statement.

The consolidated operating revenues of GSTN for 2015-16, 2016-17 and 2017-18 were Rs 19.6 crore, Rs 8.38 crore and Rs 170.02 crore respectively.