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India GST Council reforms and upcoming meeting agendas

Overview

Following the 57th Goods and Services Tax (GST) Council meeting, significant reforms were approved to make the tax framework less punitive. Key measures included removing the power for officials to arrest individuals under GST law, increasing the prosecution threshold from ₹1 crore to ₹5 crore, and granting judicial discretion over sentencing. Other reforms focused on reducing compliance burdens, streamlining input tax credit (ITC), and improving liquidity for small taxpayers. As the tax regime enters its tenth year, the Council has moved toward a two-tier structure of 5% and 18% rates, with a maximum 40% rate for luxury and sin goods. A meeting originally scheduled for September 12 was postponed to October 7 due to a conflict with the BRICS Leaders’ Summit. This rescheduled session focused on ‘GST 2.0’ initiatives, prioritizing procedural reforms, e-invoicing, and ITC regulations rather than significant rate changes. During the October 8 meeting, officials proposed relaxing blocked-credit provisions under Section 17(5)(b)(i) of the CGST Act. This recommendation aims to allow businesses to claim ITC for outdoor catering services used for dealer conferences, sales meetings, and training programs, though it is not yet an operative amendment. At the 57th meeting held in New Delhi and chaired by Finance Minister Nirmala Sitharaman, the Council recommended the complete withdrawal of departmental arrest powers by omitting Section 69 of the Act. To limit the scope of criminal offences related to tax evasion and fraudulent ITC claims, the Council also proposed narrowing Section 132(1). While no rate changes occurred during this session, the Finance Minister announced that rate changes will henceforth be addressed only once a year at a dedicated meeting, effective from 1 April. Subsequent discussions following the October 8 meeting detailed a suite of compliance-driven reforms.

Entities

GST Council · Nirmala Sitharaman · New Delhi · Ministry of Finance · Narendra Modi

Claims

What the coverage asserts, and how many sources carry each claim.

Coverage disagrees

Sources make claims that cannot both be true. CLSTR reports the disagreement; it does not decide who is right.

  • "The 57th GST Council meeting is likely to be held on October 7 in New Delhi."

    vs

    "The 57th GST Council meeting is rescheduled to October 8, 2026."

    The meeting cannot be rescheduled to October 8, 2026, if it is likely to be held on October 7.

  • "The prosecution threshold is likely to be raised from Rs 1 crore to Rs 5 crore."

    vs

    "The committee proposed raising the prosecution threshold from Rs 5 crore to Rs 10 crore."

    The prosecution threshold cannot be raised to both Rs 5 crore and Rs 10 crore.

Timeline

  1. [BUSINESS] 3 sources
    India GST Council proposes major compliance and enforcement reforms

    India's GST Council has proposed reforms to withdraw arrest powers, raise prosecution thresholds, and ease compliance for small businesses and e-commerce sellers starting November 2026.

  2. [BUSINESS] 2 sources
    India GST Council proposes changes to outdoor catering tax credits

    The 57th GST Council has recommended removing restrictions on input tax credits for outdoor catering services, potentially benefiting businesses hosting corporate events.

  3. [BUSINESS] 2 sources
    India GST Council recommends prosecution and arrest reforms

    The 57th GST Council meeting recommended withdrawing departmental arrest powers and raising the prosecution threshold from ₹1 crore to ₹5 crore.

  4. [BUSINESS] 2 sources
    GST Council proposes late fee waivers and automated refunds

    The 57th GST Council has recommended late fee waivers for small taxpayers with turnover up to ₹5 crore and introduced measures to automate and accelerate GST refund processes.

  5. [BUSINESS] 3 sources
    GST Council proposes registration and refund reforms

    The 57th GST Council has proposed reforms to automate registration cancellations and expand refund eligibility for the gems and jewellery industry to improve liquidity and simplify compliance.

  6. [BUSINESS] 8 sources
    GST Council proposes reforms to simplify e-commerce registration

    India's 57th GST Council has proposed reforms to simplify registration for small e-commerce sellers via Rule 14B and automate various tax processes, including amendments and refunds.

  7. [BUSINESS] 34 sources
    GST Council approves major reforms including removal of arrest powers

    The 57th GST Council meeting approved major reforms, including removing tax officials' arrest powers, raising the prosecution threshold to ₹5 crore, and automating refunds to ease business compliance.

  8. [BUSINESS] 2 sources
    GST Council may end tax exemptions on gold and silver imports

    India's GST Council may consider removing the 3% IGST exemption for banks and designated agencies importing gold, silver, and platinum during its October 7 meeting.

  9. [BUSINESS] 27 sources
    GST Council to discuss decriminalization and arrest power reforms at October 8 meeting

    The 57th GST Council meeting on October 8 will discuss major reforms, including decriminalizing tax offences, raising prosecution thresholds, and removing officials' arrest powers to ease business compliance.

  10. [BUSINESS] 2 sources
    GST Council to focus on procedural reforms in October meeting

    The GST Council's October 7 meeting will focus on procedural reforms and ‘GST 2.0’ initiatives rather than major rate changes, addressing issues like e-invoicing and digital transaction taxation.

  11. [BUSINESS] 7 sources
    GST Council meeting likely postponed to October 7

    The 57th GST Council meeting is expected to be moved to October 7 in New Delhi to avoid clashing with the BRICS summit. Key topics include input tax credits, refunds, and compliance.

  12. [BUSINESS] 8 sources
    GST Council to meet September 12 for tax reforms

    The GST Council will meet on September 12 to discuss simplifying registration for large businesses and addressing tax litigation and input tax credit protections in India.

Sources

aajtak.com · amlegals.com · asianage.com · autopunditz.com · bhaskarhindi.com · bhaskarlive.in · bizrapidx.com · businessnewsthisweek.com · businessnewsweek.in · businesstoday.in · caclubindia.com · chinimandi.com · deccanchronicle.com · disabledperson.com · dtnext.in · english.mathrubhumi.com · freemalaysiatoday.com · hindi.business-standard.com · ibc24.in · ibtimes.co.in · indiafreenotes.com · insightsonindia.com · kalingatv.com · latestly.com · liveLaw.in · m.businesstoday.in · madhyamamonline.com · millenniumpost.in · morungexpress.com · munsifdaily.com · nationalheraldindia.com · navabharat.com · navhindtimes.in · newindianexpress.com · news.abplive.com · news18.com · news9live.com · newsable.asianetnews.com · newsbytesapp.com · newsx.com · pcnmobile.com · pragativadi.com · punjabkesari.com · sanmarg.in · socialnews.xyz · sundayguardianlive.com · taxguru.in · taxscan.in

This summary has been updated 19 times: see revision history