Major Changes in GST Invoice Management System (IMS) from October 2025 Tax Period Issue: To simplify reporting, enhance reconciliation, and improve the management of Credit Notes and Input Tax Credit (ITC) reversal, the GST Network (GSTN) has introduced major updates to the Invoice Management System (IMS), effective from the October 2025 tax period. Facts: The… Read More »
FADA Approaches Supreme Court Over ₹2,500 Crore Compensation Cess Loss Issue: Whether the Central Government is legally liable to provide compensation or allow a grace period for automobile dealers to offset the substantial inventory loss—estimated at ₹2,500 crore—incurred due to the sudden implementation of Goods and Services Tax (GST) rate cuts (GST 2.0) and… Read More »
CBIC Revises Duty Drawback Rates for Gold and Silver Jewellery Issue: To provide clarity and certainty to exporters in the diamond, gold, and silver jewelry sector, the Central Board of Indirect Taxes and Customs (CBIC) revised the fixed All Industry Rates (AIR) of Duty Drawback applicable to exported goods. Facts: The Duty Drawback scheme… Read More »
CBIC Circular: Assignment of Proper Officers and Monetary Limits for GST Actions Title: CBIC’s Important Circular: Assignment of Proper Officers and Monetary Limits under Sections 74A, 75(2), and 122 of the CGST Act, 2017 Issue: To ensure administrative clarity, uniformity, and effective jurisdiction under the Goods and Services Tax (GST) Act, the Central Board… Read More »
No Extra GST on Tobacco; Centre Plans New Levy as Cess Period Nears End Issue: With the expiry of the existing GST Compensation Cess, the Central Government needed a mechanism to maintain the high tax burden on demerit/sin goods like tobacco, thereby ensuring continuity of high revenue generation and public health deterrence, without destabilizing… Read More »
Finance Ministry: GST Cuts to Lift Demand, But Global Headwinds Cloud Outlook Issue: To summarize the Finance Ministry’s official assessment of the economic impact of the recent Goods and Services Tax (GST) rate rationalization (GST 2.0), highlighting the positive domestic stimulus while cautioning against persistent global economic challenges. Facts: The GST 2.0 reforms involved… Read More »
CRISIL Ratings: Acquisition Cost of Fleet Operators to Decline After GST Reduction Issue: To summarize the analysis by CRISIL Ratings regarding the direct financial benefits for road logistics and fleet operators resulting from the recent Goods and Services Tax (GST) rate rationalization on commercial vehicles. Facts: The GST 2.0 reforms included rate rationalization, resulting… Read More »
GST Reforms Add Burden to MSMEs by Creating Inverted Duty Structure Issue: To explain how the recent Goods and Services Tax (GST) rate rationalization, despite its overall intention to simplify taxes, has inadvertently led to the creation of a detrimental Inverted Duty Structure (IDS) in certain segments, disproportionately affecting Micro, Small, and Medium Enterprises… Read More »
GST 2.0 Triggers Two-Wheeler Boom: India Sees Strongest Monthly Growth Issue: To summarize the impact of the recent Goods and Services Tax (GST) rate rationalization (GST 2.0) on the two-wheeler segment, which reported its strongest monthly retail growth of the current year. Facts: The two-wheeler segment had been facing muted sales volumes for several… Read More »
CBDT Empowers Commissioner (CPC, Bengaluru) with Authority to Rectify Assessment Errors Issue: To streamline the central processing of Income Tax Returns (ITR) and ensure administrative efficiency, the Central Board of Direct Taxes (CBDT) issued an order granting specific statutory powers to the Commissioner of Income Tax (CIT) at the Central Processing Centre (CPC), Bengaluru. Facts:… Read More »