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About GST
Goods and Services Tax (GST) is an indirect taxation in India merging most of the existing into single system of taxation. GST is a comprehensive indirect tax on manufacture, trade of goods and services throughout India (except J&K) to replace taxes levied by the central and different state governments.
Key Recent Amendments & Reforms
  • “GST 2.0” or Next Generation GST Reforms
    • The GST Council has rationalised tax slabs: abolishing the 12% and 28% slabs for most goods and services
    • The new standard slabs are 5% and 18%, along with a 0% for essentials/exempt items, and a higher 40% slab for “luxury or sin goods” (like tobacco etc.).
    • The changes in rates were effective from 22 September 2025.

  • Revision in Forms & TDS / TCS Reporting (Compliance Enhancements)
    • GSTR 7 (for TDS) and GSTR 8 (for TCS by e commerce operators) formats have been updated to require more detailed transaction / invoice wise reporting.
    • TDS return (Form GSTR 7) filing deadline was tightened: now must be filed by the 10th of the following month (earlier it was later)

  • E Invoice / E Way Bill / Time Limits
    • E invoice reporting deadline (upload to IRP) must be within 30 days from issue, for businesses whose aggregate turnover ≥ ₹10 crore. This was earlier applicable only to larger firms with ≥ ₹100 cr turnover.
    • e Way Bill generation restriction: Documents must be dated within the past 180 days to generate new e Way Bills. Also, the validity extension of e Way Bills is capped to 360 days from the original generation date.

  • Amnesty / Waiver Scheme & Interest / Penalty Relief
    • Through the Finance Act and GST Council decisions, interest and penalties for certain past years (for non‐fraud cases) have been waived, if full tax liabilities are cleared by specified dates.
    • There are new forms / processes (e.g. SPL 01, SPL 02) for taxpayers to apply for these waivers.

  • Definition & Interpretation Clarifications
    • Clarification in the definition of “specified premises” for restaurants: standalone restaurants will not qualify as “specified premises” and will therefore attract GST @ 5% without input tax credit (ITC), whereas restaurants inside hotels/inns etc. above a certain tariff may have different treatment
    • Amendment to Section 17(5)(d) of the CGST Act: changing “plant or machinery” to “plant and machinery” (retroactive from 1 July 2017). This impacts what kind of capital expenditure is eligible for ITC.

  • Track & Trace / Anti Evasion Measures
    • Insertion of provisions for a track & trace mechanism for specified commodities; requiring Unique Identification Markings for such goods (could be digital/digital stamp etc.). Penalties for non compliance have been proposed.
    • Functions of the Appellate Tribunal expanded to include anti profiteering cases.

Implications & Things to Watch
  • Businesses must reclassify many products/services according to the new rate structure. What was earlier taxed at 12% or 28% might now fall into 5% or 18%, so pricing, supply chain, accounting, invoices etc. will need adjustments.

  • The stricter deadlines (for e invoice uploads, TDS / TCS reporting, etc.) mean tighter compliance. Mistakes / delays could lead to rejections or loss of input credit.

  • For sectors producing or selling “sin / luxury goods,” the new 40% slab may increase the tax burden.

  • Input Tax Credit (ITC) treatment will need careful review, especially with changes in definitions and retrospective clarifications.

  • The track & trace requirements will mean additional operational / technical compliance for goods that are “specified.”