GST Updates

New RCM Supply Rules: Major Shift Starting Nov 1, 2024

The Indian GST landscape is about to witness a monumental change. From November 1, 2024, new Reverse Charge Mechanism (RCM) Time of Supply Rules will come into effect, significantly impacting how businesses handle RCM transactions. This shift emphasizes the importance of timely self-invoicing, a crucial compliance requirement, to avoid penalties and the risk of losing Input Tax Credit (ITC). In

CBIC Corrigendum Clarifies CGST Act Provisions on ITC

The Central Board of Indirect Taxes and Customs (CBIC) recently released a corrigendum to Circular No. 237/31/2024-GST, further clarifying provisions under Section 16 of the Central Goods and Services Tax (CGST) Act, 2017. Dated October 25, 2024, this corrigendum addresses specific challenges related to Input Tax Credit (ITC), ensuring clarity for both taxpayers and GST officers on its eligibility criteria

Affordable Housing GST Limit Raised to ₹56 Lakh in India

The rising costs in the housing sector have made affordable housing a priority across India. A recent recommendation from a Goods and Services Tax (GST) panel is a hopeful step toward making home ownership more accessible. This government panel, focused on GST regulations for real estate, is proposing an increase in the affordable housing price limit from ₹45 lakh to

Biometric Aadhaar Authentication for GST to Curb Fraud

The digital era, while bringing unmatched conveniences, has also opened doors to new challenges, especially in security and identity verification. One area where this is particularly significant is tax administration. To address rising instances of tax fraud, particularly the misuse of Aadhaar and PAN cards in fraudulent GST (Goods and Services Tax) registrations, the State GST Department has implemented a

GST Film Industry Clarification: Guild’s Victory

Introduction In a groundbreaking move, the Ministry of Finance has clarified the Goods and Services Tax (GST) applicability on film distribution before October 2021. This long-awaited decision comes as a breath of fresh air for the Indian film industry, particularly for production houses, distributors, and other stakeholders. For years, the industry grappled with ambiguous GST regulations that led to show-cause

GST Reduction on Insurance Premiums to Ease Costs

With a fresh approach to making insurance accessible, the Finance Department is considering a reduction in the Goods and Services Tax (GST) on life and health insurance premiums. According to recent reports, this reduction would ease financial burdens, particularly for seniors, who often face high premiums. Currently, the 18% GST rate applies to most health and life insurance premiums, but

GST REG-07 Form: Updated Advisory for Metal Scrap Buyers

The Goods and Services Tax Network (GSTN) has recently rolled out an update that simplifies the registration process for metal scrap buyers. In line with Notification No. 25/2024 – Central Tax, issued on October 9, 2024, this update primarily targets businesses and individuals dealing in metal scrap transactions. The advisory, released on October 13, 2024, introduces a new step-by-step approach

GST Rate Changes: GoM Proposes Exemptions and Hikes on 100+ Products

In a move that could reshape India’s Goods and Services Tax (GST) landscape, a Group of Ministers (GoM) has proposed significant tax rate changes for more than 100 products. These adjustments are aimed at providing targeted relief in some areas, while also generating additional revenue to support important exemptions, particularly for senior citizens and essential insurance policies. The recommendations are

Lower GST on Water Bottles and Bicycles: 2024

The Group of Ministers (GoM) on Goods and Services Tax (GST) rate rationalization met recently to discuss significant adjustments in the tax structure. With a focus on easing the financial burden on consumers, the GoM, chaired by Bihar Deputy Chief Minister Samrat Chaudhary, proposed a set of tax revisions that aim to strike a balance between affordability for essential goods

GST Exemption on Life and Health Insurance for Seniors

In a significant move aimed at providing financial relief to senior citizens, the Group of Ministers (GoM) has put forward a proposal to exempt Goods and Services Tax (GST) on life and health insurance premiums. This decision could represent a major shift in how essential financial services are taxed, and it signals an important step toward reducing the economic burden

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