GSTN grossly underestimated Server Requirement and let Modi down-CEO should resign

When the Government was targeting 3 Crore GST payers; GSTN settled for a Rented server based in Whitefield Bangalore having capacity of only 80000 access at one time whereas the requirement was to have a Server having capacity of 5 Lakh access at one time. The Jumbo Server similar to one being used by National Stock Exchange was required to be imported by GSTN. But Consultants to GSTN and even GSTN Team could not understand the basic requirement of Hardware and Software for running Network for uploading and matching data of a magnitude required for implementation of GST.

It was mismanagement by all stakeholders. Instead of GSTN opening Return Filing Facilitation Centres in all cities; the Officials were busy with TV Channels and Webinars. Even GSTN Head Office at Aero City in Delhi did not have a Service centre for Tax payers where they could go for resolution of their issues and get them resolved on the spot. Even FinMin and GST Commissioners failed to assess that need of hour was to open Return Filing Centres in all cities and the issues in filing of returns should have been resolved by the Team of GSTN Officers, Software Vendor and GST Officers on the spot. It was a hit and run by all with GST Officers being helpless in resolving the issues as they themselves did not have access to network. Without addition of all Service Tax, Central Excise & VAT Registrations; the TRAN-1 Form did not allow; transfer of transitional credit and showed message of “Processing Error”. Even the amendment in non-core fields of registration was not reaching the Desktop of GST Officers and they were not in a position to approve the amendment and the application showed the status as “Pending Validation”. But who will validate and how to get it validated was not known to anyone. Even no one knows who will approve the Provisional Registration into final registration and without approval of registration into final registration.

Though many were given GSP Licenses but even they were not given access by GSTN and were not of much help to filers.

The Government had to face the wrath of Tax Payers on social media who were unable to access the Portal which repeatedly crashed due to heavy traffic and was not capable for upload of huge data. GSTN Helpdesk did not even acknowledge the emails sent by Taxpayers. Everyone started to blame PM and Adhia but the responsibility was on GSTN Team to assess the requirement of Hardware and Software for smooth running of Network. The Team failed to assess the requirement and the Server crashed multiple times. It was wastage of National Time with entire country trying to access the server and only lucky few could upload the returns without any error.

The Network is not going to work on existing Server and a Jumbo Server is required to be imported well before the revised due date of GSTR3. It is wiser to dispense with all returns and to provide for filing of only GSTR3B till a compatible Server is imported.

It is not only Hardware but Software is also full of bugs. Many Tax payers who submitted returns Online several days ago; the status of their return even after a week is being shown as “under process”. Those who got error message are unable to generate Error file.

Consultants to GSTN who failed to assess Hardware and Software requirement should be blacklisted and the Team GSTN which was not capable of identifying the basic system requirement needs to be fired. Crores of Tax Payers money handed over to GSTN, National Time and Energy was wasted as those who were assigned the responsibility miserably failed in their task and let PM Modi down.

It is time for CEO of GSTN to own the responsibility and resign.



  1. Manish Parekh said,

    September 10, 2017 at 11:33 pm

    Sir I think may be the concerned office has some personal interest in renting such a small server. Further it’s absolutely reckless of Shri Hasmukh Adiya Sir to accuse the public that they are filing at the last moment. Sir I would suggest that you prepare your self in such a way even if all the dealers file on d last day you should be able to handlw the traific. Further most important we are made to understand that we need to procure software to upload gst returns who are ASP’s and pay then monthly fees per gstn and also if d billing if over 10000 then further fees. Why the hell should we or the dealers pay to any one such fees to file our gst returns . These ASP and GSPN are nothing but DALAL – middleman . In defence deal the govt does allow middleman then why are they allied here .

  2. Jayesh said,

    September 10, 2017 at 11:47 pm

    It is stupid to leave government scot-free. It’s government’s adamncy which has lead to this situation

  3. September 11, 2017 at 3:03 pm

    All the good work Modiji is trying to achieve or has achieved will go down the drain because of this massive goof up.

  4. Pooja said,

    September 11, 2017 at 6:38 pm

    The site is very poorly designed, there should be an option to take aprint and check the provisional return 3b so errors could be avoided and this interest clause for non debitof ledgers is uncalled for especially when it is provisional and there are no options for revision

  5. September 16, 2017 at 1:13 pm

    The site does not show any option for deregistration for those who have migrated to GST as it was compulsory to do so but earn less than the threshold amount.

  6. September 17, 2017 at 12:28 pm

    Why CEO ? Why not Minister be held responsible for choosing an INCOMPETENT and UNQUALIFIED man as CEO of such an important organization ?

    Why are the political bosses unable to look beyond Babuz even while selecting leaders for leading highly professional tasks !

    Why are these Babuz considered UNIVERSAL EXPERTS – be it Education, Town Planning, Health Care, S&T, or GSTN…?

    Over 6 DECADEs of DISASTROUS rule and over eight years of rule by party claiming to be different – Why have the Governments repeatedly fail to evolve and establish All India Services of experts in professional areas, build their cadre and treat give them at least as much importance, respect and Authority as that given to IAS Babuz (with barely any accountability in case of later coming on short tenures and then leaving to spoil another professional organization)!

    Do the Ministers go to retired IAS officials for their surgery or hire retired Babuz to fight their cases in courts ? OR the nation is last priority …. Chaltaa Hai !

  7. Kannan NSR Iyer said,

    September 17, 2017 at 12:30 pm

    Is it a goof up by MOF?

  8. K RAMAKRISHNA said,

    September 17, 2017 at 2:47 pm

    there are potential saboteurs everywhere

  9. vijay said,

    September 17, 2017 at 4:53 pm

    Everybody knows who is responcible. No point in blaming CEO of GSTN. Until the system was not ready what is the point in implementation of GST. There is chaos in business community due to demonetirization and now GST.

  10. Anonymous said,

    September 17, 2017 at 6:42 pm

    FM should resign not the officers for the mammoth blunder committed and stabbing PM in the back.

  11. Ganesh Panchal said,

    September 18, 2017 at 6:24 am

    Absolutely correctly said,GSTN team & Govt officials should compensate to all honest taxpayers fir wastage of national time & energy.

  12. Anonymous said,

    September 18, 2017 at 12:30 pm


  13. SJ Kotecha said,

    September 18, 2017 at 5:45 pm

    Act seriously

  14. September 19, 2017 at 6:38 am

    What about the blatant lies Jootly keeps telling the people. He is accountable and the law should address this issue: mis information, leading public to imminent danger, mis representation of facts, loss to the exchequer (2G is based on that) and what benefit he derived from this.

  15. Ravindra Singhaniya said,

    September 19, 2017 at 11:50 am

    We want at least 50% babu’s (IAS) from technical stream. They should appear for technical subjects in exam. Even a second year engineering student of reputed college can easily estimate the data flow. I am very disappointed with the pattern the govt works. Primary blame should be on government for choosing wrong company for GST.

  16. Subramaniyam swamy said,

    September 19, 2017 at 8:49 pm

    Can you give me date of appointments to discuss on Indian law and constitution pl

  17. Prem Chhatpar said,

    September 20, 2017 at 4:59 pm

    Don’t people file income tax returns smoothly on the last day? Problems born from conception stage – where is the need for invoice wise details. It has never been done anywhere else in the world. Customers use and Supplier wise summary is good enough and has enabled meaningful discovery of discrepancies if any at the State level.

  18. Arun Singh said,

    September 20, 2017 at 7:18 pm

    Does anyone claim responsibility for failure when everyone is out blaming Modi and Hasmukh Adhia. CEO of GSTN knows users know of only PM to blame for everything so he is safe despite his incompetence.

  19. Anonymous said,

    September 23, 2017 at 5:31 pm

    तानाशाही है भाई लोगो सब कुछ सहन करो चुप चाप नहीं तो बिज़नेस बंद कर दो

  20. H n rarhi said,

    September 24, 2017 at 9:07 pm

    Real fact but government not ready to accept and take corrective action

  21. Navin Shah said,

    October 2, 2017 at 1:20 pm

    As a Revenue Secretary, it was Adhia job to assess requirement of GSTN server, though Authorities at GSTN can’t be spared, Adhia can’t be spared too, his half-hearted preparation, and I’ll timed operation brought Bad name to PM n Party,
    P M relies more on Adhia than even Arun Jaitley, so Adhia must do his homework intensively

  22. November 1, 2017 at 1:57 pm

    GST team should have hard core professionals like C.A’s on board , instead of yes men like Babus and others. Babus have created such a legislation that putting it into a practical shape is a herculean task on the system. More ever, we file our return mostly in last 2-3 days, hence server capacity should be there accordingly.

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