GST Council Clears Major GST 2.0 Reforms, Eases Compliance Burden
What Happened
The 57th GST Council, chaired by Finance Minister Nirmala Sitharaman, approved a wide-ranging GST 2.0 reform package. Key decisions include removing the power of arrest under GST, raising the prosecution threshold from ₹1 crore to ₹5 crore, reducing general penalties from ₹25,000 to ₹10,000, and introducing a faster refund system with quicker claim processing.
Key Takeaways
The reforms focus on simplifying compliance, reducing litigation, protecting genuine taxpayers, and improving cash flows for businesses through faster refunds and a more predictable tax regime.