Infosys, the country’s second largest IT firm, has bagged a seven-year deal worth Rs 6,000 crore for GSTN infrastructure.
The GSTN board has approved the IT major’s proposal.
Infosys shares closed lower by Rs 30.6, or 2.0 per cent, at Rs 1,469.5 apiece on BSE after the announcement.
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Infosys is the technology service provider and partner behind the GSTN, which is the central technology backbone of the indirect tax ecosystem in the country.
Infosys has developed the IT infrastructure for GSTN. The Bengaluru-based IT major has played a critical role in the rollout of the indirect tax regime in 2017.
It has since provided technology solutions to support seamless GST compliance, filing and administration.
The GSTN runs the centralised GST registration, return filing and data processing portal for the indirect tax regime.
Infosys builds and maintains the GSTN IT platform, supporting GST filings, data management and compliance facilitation nationwide.
GSTN acts as a unified technological backbone for taxpayers and tax authorities alike.
What does GSTN do?
GSTN facilitates a wide range of crucial digital and administrative functions, including taxpayer registration, GST return filing, GST dues payment, tax refund processing, data validation, and support service.
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GST 2.0 reforms
The central government has promised major tax cuts by Diwali this year, including a proposed shifting of most goods from the 12 per cent slab to the 5 per cent slab, and from the 28 per cent slab moving to the 18 per cent slab, and the introduction of a new 40 per cent GST rate for sin goods like tobacco products.
The GST Council — the top decision-making body of the indirect tax regime — is set to meet on September 3 and September 4 next.
