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GST Council Meeting: Major Relief Expected on Registration, Refunds, and E-commerce Rules
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CNBC Awaaz•07-10-2026, 15:58
GST Council Meeting: Major Relief Expected on Registration, Refunds, and E-commerce Rules
- •The upcoming GST Council meeting may simplify registration, returns, and refund procedures for traders, e-commerce, and industry.
- •Proposals include eliminating separate state registrations for e-commerce and reducing GST on goods delivery services from 18 percent to 5 percent.
- •Input Tax Credit (ITC) scope may be expanded to cover employee insurance, vehicles, plant machinery, and damaged goods.
- •Buyers will no longer suffer or have refunds withheld due to a supplier's failure to file returns.
- •The threshold for tax evasion prosecution may be raised from ₹1 crore to ₹5 crore, and arrest rules are proposed to be relaxed.
Key Questions Answered
There is a proposal to eliminate the hassle of obtaining separate GST registrations in every state for the e-commerce sector.
There is a proposal to withdraw the power of arrest from officials so that arrests cannot happen without an enforcement officer's permission. Additionally, the threshold for filing prosecutions in tax evasion cases may be increased from ₹1 crore to ₹5 crore.
Proposals include approving refunds within 10 days and disbursing them within 17 days for traders, alongside relief from show-cause notices caused by return mismatches. Furthermore, a buyer's refund will not be withheld or stuck due to a supplier's mistake of failing to file a return.
