The Indian government’s effort to ease burden and harassment faced by small businessmen and traders over filing good and services tax (GST) returns is beginning to bear fruit with the expansion of GST Suvidha Kendra that are springing up across the country through a franchise model.
These centres, especially because of their low cost model, promise to reduce cost and burden of filing GST returns, could pave the way for making India’s biggest tax reform a success.
GSP as a term has been tossed by GSTN (Goods and Service Tax Network) which is a private company in which central and state government collectively holds 49.5% stake. GSTN has been set up with the sole objective of development and maintenance of IT infrastructure for Goods and Services Tax implementation in India. This is in-line with Digital India initiative for a paperless tax compliance regime and brings more ease in doing business.
There is eligibility criteria you can match the same.
- GSK Operator must be an Indian citizen.
- GST Suvidha Kendra office at least (100 sq ft)
- GST Suvidha Kendra should have basic IT Infrastructure (2 Computers, Printer & Internet Connection)
How GST Suvidha Kendra Works
It is expected that the GSPs shall provide the tax payers with all services mentioned above in addition to maintaining their individual business ledgers (sales ledger and purchase ledger) and other value added services around the same. Another important service expected from GSPs is the automatic reconciliation of purchase made and entered in the purchase register and data downloaded in the form of GSTR-2 from the GST portal. In additional there will be sector-specific or trade specific needs which the GSPs are expected to fulfil. The conceptual diagram depicting the same is as given below.
Tax payer’s convenience will be a key in success of GST regime. The tax payer should have a choice to use third party applications which can provide varied interfaces on desktops, laptops and mobiles and can connect with GST System. The GSP developed apps will connect with the GST system via secure GST system APIs. Majority of GST system functionalities related to taxpayer’s GST compliance requirements shall be available to the GSP through APIs. GSPs may use GST APIs and enrich and enhance the tax payer’s experience. (The APIs of GST System are RESTful, json-based and stateless). GST System will not be available over the Internet for security reasons.
The production API end points can only be consumed via MPLS lines. All APIs will be accessed over HTTPS protocol. The benefits of API based integration are:
- Consumption across technologies and platforms (mobile, tablets, desktops, etc.) based on the individual requirements
- Automated upload and download of data
- Ability to adapt to changing taxation and other business rules and end user usage models.
- Integration with customer software (ERP, Accounting systems) that tax payers and others are already using for their day to day activities