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India GST Council recommends prosecution and arrest reforms
At the 57th Goods and Services Tax (GST) Council meeting held on 8 October 2026 in New Delhi, chaired by Finance Minister Nirmala Sitharaman, the Council recommended significant reforms to prosecution and arrest powers under the CGST Act, 2017.
Key recommendations include the complete withdrawal of departmental arrest powers by omitting Section 69 of the Act. Additionally, the monetary threshold for prosecution is proposed to rise from ₹1 crore to ₹5 crore. The Council also recommended narrowing Section 132(1) by omitting certain clauses to limit the scope of criminal offences related to tax evasion and fraudulent input tax credit (ITC) claims.
No changes were made to GST rates during this meeting. The Finance Minister announced that rate changes will henceforth be addressed only once a year at a dedicated meeting, effective from 1 April. These recommendations will require formal legal implementation through circulars, notifications, or legislative amendments to take effect.
Entities
Central Goods and Services Tax Act · GST Council · Ministry of Finance · New Delhi · Nirmala Sitharaman
Claims
What the coverage asserts, and how many sources carry each claim.
- [○ 1 SOURCE] Rate changes will be taken up once a year at a dedicated meeting starting 1 April. amlegals.com
- [○ 1 SOURCE] The 57th GST Council meeting was held on 8 October 2026 in New Delhi. amlegals.com
- [● 2 SOURCES] The monetary threshold for prosecution is proposed to be raised from ₹1 crore to ₹5 crore. amlegals.com
- [● 2 SOURCES] The Council recommended the complete withdrawal of arrest powers by omitting Section 69 of the CGST Act, 2017. amlegals.com
- [○ 1 SOURCE] No GST rates were changed during the 57th meeting. amlegals.com
- [○ 1 SOURCE] Recommendations will only have legal force once implemented through circulars, notifications, or law amendments. amlegals.com