- GST Council meeting rescheduled to October 8 due to circumstances.
- Proposal to withdraw arrest powers from GST tax officials.
- ITC for telecom towers; relief for small businesses discussed.
The 57th GST Council meeting, which was scheduled for October 7, has been rescheduled for the second time, and the new date is October 8. In an office memorandum, the GST Council Secretariat said that the meeting is being rescheduled due to "unavoidable circumstances".
The Council, chaired by Union Finance Minister Nirmala Sitharaman and comprising state ministers, will, in its meeting on Thursday, discuss changes in registration, returns, and refunds mechanisms.
As per media reports, the Council will discuss various proposed policy reforms to resolve GST disputes and improve the flow of input tax credit. It may also take a call on decriminalising GST offences. Let’s have a look at the proposal that could be discussed in the GST Council Meeting.
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Top 5 Likely Proposals To Be Discussed In GST Council Meeting
GST officials won’t have the power to arrest
The council may discuss the proposal to withdraw arrest power from GST tax officials, as per media reports citing sources. Under the current GST law, tax officials have the power to arrest individuals.
ITC on telecom towers and pipelines
The council is to bring Telecom towers and pipelines under the ITC mechanism following a Supreme Court ruling. This will classify towers as movable property eligible for tax credits.
Higher threshold for prosecution against firms
A proposal to raise the threshold for corporate prosecution above the current Rs 5 crore limit may also be discussed. This will shift minor disputes to civil penalties and offer relief to businesses.
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Relief for small businesses
A proposal to give a dedicated facility for quarterly tax payments and annual returns to Small B2C businesses for ease of compliance under the QRMP scheme could be on the discussion table as well.
No tax notices for smaller cases
The council may bring a law to stop issuing tax notices for cases under Rs 10,000, including past pending cases, providing relief for minor claims.