GST was implemented on the 1st of July and the migration along with the first return filing are underway right now. How much do you really know about the GST Network? And how well do you understand it? Can you really afford to not have a clear understanding at this stage?
If you have any questions on the role that GST Network plays at this stage, then watch this video NOW!
Sanjay says, “GST is a huge initiative in the history of corporate India. It has three components to it: tax compliance, increasing the competitiveness, and digitization. All these three components can be accomplished with one tool, which is GST.
GST has three elements to it, the GSTN which is the entity that sits in the middle of the entire ecosystem. The ecosystem has 80 lakh taxpayers today, which will grow to 2 crore taxpayers in a few years which estimates close to 3-5 billion invoices, that is 300-500 crore invoices, which will keep going back and forth between the taxpayer and the GSTN in a digital format every month.
This is a technology-driven initiative on a scale never seen before, not just in India, but in any part of the world. GSP is one of the critical elements of this entire ecosystem. So, there’s GSTN in the middle and a string of GSPs which act as gateways to the GST Network.
Vayana GSP is one of the GSPs, which has been selected after a scrutinized process of diligence, technical demonstrations, and product delivery, that was shown in a demo. Vayana GSP promises to be one of the most available, scalable and secure gateways to the GSTN. The GSTN and the Vayana GSP will interface on the other end with the Corporates, whether large, small or medium-sized, MNCs or Indian companies, nearly 80 lakh to 1 crore of them. These companies will require different tools to extract their tax information, some of these may have ERPs like SAP, which will then provide a digital app to take that information from their aligned system and put it into appropriate formats for GSTN to process through the GSP.
The critical component of GSTN is data security, the GSPs do not keep any data, all data is encrypted. More importantly, GSTN helps any counterparty to get their seller and Buyer data through GSTN from the lead reverse link and that is the process of invoice matching that makes GST in India very unique. The reason for Vayana Network got into this whole business, is because Vayana Network has been in the business of invoice matching for a long time, almost 7-8 years. Vayana Network was set up in 2009, with a vision to provide financing to SMEs ensuring that their invoices are digitized, confirmed and financed. Vayana Network has done close to 4500 crore financing till date and expects to do a lot more going forward in the process of ensuring corporates of all sizes remain GST compliant, provide a GSP interface of the most available, secure and scalable interface.