A Rs 1,380 crore contact given by GST Network to Infosys to build and maintain technology network for the proposed new indirect tax system is liable to service tax, feel experts. However, ideally services given by GSTN and received by it should be exempt from service tax, they said.
The service tax department is investigating whether the contract is liable to tax. It has asked GSTN CEO Prakash Kumar to come out with all the relevant papers in this regard.
