The GST Council decided that the 51% stake in GSTN held by private entities should be taken over by the government, and eventually the central government should hold 50% in the network, and the states should hold the remaining 50% collectively
Post the 27th Goods and Services Tax (GST) Council meet on Friday, Union Finance Minister Arun Jaitley said that the Council has agreed to change the ownership structure of the Goods and Services Tax Network (GSTN).
“A very important item on the agenda was the change in the ownership structure of the GSTN. The original structure of GSTN was that 49% was held by the government, out of which 24.5% was held by the central government and 24.5% was held by the state government. The balance 51% was held by some other entities. I had made a suggestion some few weeks ago that this amount should be, that this shareholding of 51% should be taken over by purchase by the government and divided equally between the states and the centre,” said finance minister Arun Jaitley while addressing the media.
Further, Jaitley said that the collective share of the state governments will be divided on a pro-rata basis.
Jaitley also added that there was a detailed discussion on the first year’s revenue collection.