Pointing out the technical glitches faced during peak filing hours of goods and services tax (GST) returns and the “tardy” progress of resolution despite repeated concerns, the Finance Ministry has now asked Infosys to submit a resolution plan within 15 days.
Infosys chairman Nandan Nilekani has also been asked to make a presentation in the upcoming GST Council meeting slated for Saturday.
In a letter to Infosys dated March 5, the Ministry said that some of the problems highlighted as early as 2018 are still unresolved and failures month after month lead to genuine taxpayers “getting frustrated”.
“It is requested to go through the pending issues, day-to-day disruptions and the future road map and come up with a plan for quick resolution within 15 days. Infosys has set high international standards and it is expected that the efficiency which your organisation is known for should be visible in the GST project also,” the Ministry said in the letter to the IT company.
Some of the issues highlighted in the letter include multiple cache failure and long period of recovery, configuration issues, earlier pending request to scale up the server capacity, wrong computation of late fee for annual return for financial year 2017-18, wrong credit of transition credit and transition issues to the new GST registration system for union territories of Ladakh and Jammu & Kashmir.
The facility for Aadhaar verification of new and existing registrations is also yet to be created, the letter noted.
The Ministry said even though the GST system has been in operation for the last 30 months, there have been instances of taxpayer complaining about facing issues in filing returns in the last two days of the filing of returns (for GSTR-1 and GSTR-3B).
“It is noticed that MSP (Master Service Provider) M/s Infosys have been repeatedly asked to take timely action and to identify the root cause of issues after each event and taken corrective action. However, the problem still persists,” it said.
Infosys has developed software for GST Network, the IT backbone of the indirect tax regime. When contacted, Infosys refused to comment. The Ministry further said that such glitches on the portal lead to an unhealthy tax compliance requirement more so when on account of such disruptions some taxpayers end up becoming liable for payment of late fee and interest.
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