- 04 Apr 2025 06:45 PM
- New
Structural Reforms in Tax Assessment under GST and Recovery
Source: https://taxguru.in/goods-and-service-tax/structural-reforms-tax-assessment-gst-recovery.html
The Indian government, through the Ministry of Finance, has undertaken substantial reforms to its tax assessment and recovery system. Contrary to the specific query regarding a potential 5% GST on food delivery applications like Zomato and Swiggy, which was clarified as incorrect, the focus has been on enhancing efficiency and transparency across the board. The reforms are not a response to fundamental structural issues, but rather a proactive strategy to modernize and streamline tax administration. Key initiatives include the widespread digitalization of tax processes, the introduction of faceless assessments and appeals, and the implementation of electronic tracking systems. The Goods and Services Tax Network (GSTN) platform plays a crucial role in real-time monitoring of GST filings, mitigating fraudulent claims. Customs reforms, such as the risk management system, electronic duty payments, and automated refunds, have also contributed to improved efficiency. To address tax evasion, “Project Anveshan” utilizes advanced technologies like facial recognition systems and E-way bill data to identify high-risk GSTINs. Additionally, the Demand Facilitation Centre (DFC) in Mysuru aids taxpayers in resolving outstanding tax demands, providing guidance and support through the resolution process. These measures collectively aim to strengthen revenue collection and curb revenue leakage.
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- 04 Apr 2025 06:39 PM
- New
Love to eat out? Be ready to pay GST at THIS rate as new regulations take effect
Under the new regulations that took effect on April 1, hotels have the option to choose the 'specified premises' classification. Customers are supposed to pay goods and services tax at rates between 5 per cent and 18 per cent.
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- 04 Apr 2025 06:43 PM
- New
GST on Food Delivery Apps: Council Review Ongoing
Source: https://taxguru.in/goods-and-service-tax/gst-food-delivery-apps-council-review-ongoing.html
The Indian government, through the Ministry of Finance, addressed a question in the Rajya Sabha concerning the imposition of a 5% Goods and Services Tax (GST) on food delivery applications such as Zomato and Swiggy. The response clarified that GST rates and exemptions are determined by the GST Council, a constitutional body comprising representatives from both the central and state/union territory governments. The existing policy dictates that restaurant services, excluding those located in specified premises, are subject to a 5% GST without input tax credit, regardless of whether the service is provided directly by the restaurant or through Electronic Commerce Operators (ECOs). This means the core food service itself already carries a 5% tax. The question specifically raised whether the government planned to impose this 5% GST directly on the delivery apps themselves. During the 55th GST Council meeting held on December 21, 2024, a proposal to clarify the GST rate applicable to food delivery services ordered through these apps was presented. However, the council determined that the matter required further examination. The response also specified that other services provided by food delivery apps, such as platform services, are already subject to an 18% GST.
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- 04 Apr 2025 06:48 PM
GST Collection Trends & Evasion Cases: Govt’s Response
Source: https://taxguru.in/goods-and-service-tax/gst-collection-trends-evasion-cases-govts-response.html
Indian government provided details on GST collections over the past five years, showing varying levels of achievement against budget estimates. While collections fell short in FY 2019-20 and FY 2020-21, they exceeded targets in subsequent years, with FY 2023-24 achieving 100.1% of the revised estimate. Since 2020, over 86,000 GST evasion cases were detected, amounting to ₹6.79 lakh crore, with ₹1.23 lakh crore voluntarily deposited. ITC fraud cases totaled 42,673, involving ₹1.66 lakh crore in detected fraud. To improve compliance, the government implemented measures such as e-invoicing, risk-based GST analytics, and Project Anveshan, which employs advanced techniques like Facial Recognition System and e-way bill data analysis. While these efforts contribute to revenue collection and fraud detection, the government notes that their impact cannot be isolated from broader economic factors.
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- 03 Apr 2025 06:23 PM
Mint Quick Edit | Indian factories are bustling with orders
The manufacturing sector’s purchasing managers’ index has gone further into expansion zone, even as other indicators point to an economic pick-up. Let’s hope factors beyond Indian control don’t get in way.
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- 02 Apr 2025 06:09 PM
Net GST collection in March jumps 7.3% to ₹1.77 tn, showing success of self reliance
In FY25, GST collections jumped 8.6% after adjusting for refunds, to ₹19.56 trillion, data from GSTN, the state-owned company that processes tax returns, showed.
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- 02 Apr 2025 06:13 PM
Indian stock market: 8 key things that changed for market overnight - Gift Nifty, US job openings to Trump tariffs
Indian stock market: Gift Nifty was trading around 23,312 level, a discount of nearly 9 points from the Nifty futures’ previous close, indicating a flat start for the Indian stock market indices.
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- 01 Apr 2025 06:37 PM
GST kitty grows 10 pc in March to ₹1.96 lakh cr, second-highest ever
New Delhi, Apr 1 (PTI) Gross GST collection grew 9.9 per cent in March to over ₹1.96 lakh crore - the second-highest mop-up ever, government data showed on Tuesday.
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- 01 Apr 2025 06:41 PM
2FA Mandatory for e-Way Bill & e-Invoice from April 2025
Source: https://taxguru.in/goods-and-service-tax/2fa-mandatory-e-way-bill-e-invoice-april-2025.html
Starting April 1, 2025, the National Informatics Centre (NIC) will enforce Two-Factor Authentication (2FA) for taxpayers and transporters accessing the e-Way Bill and e-Invoice systems. This security measure requires users to authenticate their login using a one-time password (OTP) in addition to their username and password. OTPs can be received via three methods: SMS on the registered mobile number, the government-provided Sandes messaging app, or the NIC-GST-Shield app, which generates OTPs offline and refreshes them every 30 seconds. To enable 2FA, users must log in to the e-Way Bill System, navigate to the 2-Factor Authentication option, and confirm registration. Once activated, OTP authentication becomes mandatory for all logins, including sub-users under a GSTIN. The main user can create and manage sub-users, assigning specific permissions for e-waybill operations. The system also allows monitoring of sub-user activities. This implementation aims to strengthen access control and enhance security within the e-Way Bill and e-Invoice systems.
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- 01 Apr 2025 06:46 PM
Representation for Extension of Section 128A GST Amnesty Scheme
Sales Tax Bar Association (STBA), Delhi, has formally requested Finance Minister Nirmala Sitharaman to extend the GST Amnesty Scheme deadline from 31st March 2025 to 30th June 2025. STBA, one of India’s oldest tax associations with around 2000 members, highlights key challenges taxpayers face in availing the scheme. These include unresolved appeals, financial burdens due to upfront full tax payments, multiple Show Cause Notices (SCNs) on identical issues, and dual notices from both Central and State tax authorities. During the Grievance Redressal Committee (GRC) meeting on 27th March 2025, various State Commissioners and industry bodies such as PHDCC, CII, ASSOCHAM, and FICCI acknowledged these difficulties. The association argues that an extension would enhance taxpayer participation, improve compliance, and contribute to increased revenue collection. STBA emphasizes that many businesses, particularly MSMEs, are still recovering from economic hardships and require additional time for fair settlement of liabilities. The request has been copied to key officials, including the Minister of State for Finance, Revenue Secretary, and members of the Central Board of Indirect Taxes and Customs (CBIC), urging their intervention for a timely extension.
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