Link Aadhaar With GST Registration Recently to check malpractices Goods and Service Tax (GST) decided to make Aadhaar authentication or physical verification mandatory for new dealers from January 2020. The use of Aadhaar Card with GST registration will help a person to register himself on the GSTN portal by applying online just using his Aadhar Card number doing away with the requirements of various other documents. Key Highlights
About Goods And Service Tax Network (GSTN)
- This decision was taken after unearthing the fake invoices scam in the last two years. There are a good number of fly-by-night operators involved in this malpractice.
- It is against the backdrop of such cases, and the fact that frauds totaling up to a staggering ₹45,682 crore have been detected since the roll-out of the tax on July 2017.
- For those who do not want Aadhaar authentication, physical verification will be carried out, which will be completed in 3 days.
- As refunding is a big issue, the GST Network has also decided on complete online refunding from 24 September 2019 from a single source, either by Central GST or State GST.
Way Forward The council too needs to follow the network’s lead and move swiftly to recommend mandatory linking for refunds, especially since that has proved to be the main source of most frauds. In a becalmed economy, neither the Centre nor the States can afford to forego even a rupee of revenue that is due to the public coffers. Also read: Government Did Not Try Out GST System Before Rollout: CAG A Relief for Housing Projects in 34th GST Council Meeting
- GSTN, a not-for-profit Company under Section 8 of the Companies Act, 2013, incorporated on March 28, 2013.
- GST Network (GSTN) entity has been jointly registered by Central and State Governments.
- It was primarily set up to provide IT infrastructure and services to Central Government, State governments, taxpayers and other stakeholders for GST implementation.
- The restructured GSTN, with 100% government ownership has equity 50:50 structure between the Centre and the States.