Input tax credit restriction: construction materials for self-built immovable property cannot be claimed even if used for rental business.
Section 17(5)(d) disallows input tax credit for goods or services received for construction of an immovable property on a taxable person's own account, including when used in the course or furtherance of business. Accordingly, input tax paid on construction materials and input services used to build a marriage hall by the applicant on its own account cannot be claimed as credit, even though letting the hall attracts GST on rental receipts. (AI Summary)

Registration threshold increase permits higher turnover limits for suppliers, altering GST registration scope and related compliance obligations.
Notification 01/2020 raises registration thresholds for certain suppliers, contemplates mandated electronic payment modes, empowers Commissioners to extend filing deadlines for annual returns and TCS statements, permits transfers within the electronic cash ledger via the common portal (deemed refunds/deposits), and introduces a ten percent penalty for proven profiteering with waiver if the amount is deposited within thirty days; Rule 117 transitional filing deadlines are also extended. (AI Summary)

Prohibition of electronic cigarettes bans manufacture, sale and advertisement and provides penalties, seizure and enforcement powers including seizure powers.
The Act imposes a comprehensive prohibition on electronic cigarettes-banning production, manufacture, import, export, transport, sale, distribution, storage and advertisement-defines electronic cigarettes to include devices that heat any substance to create inhalable aerosol (excluding products licensed under the Drugs and Cosmetics Act), and provides penal consequences, cognizable-offence treatment, authorized officer search, seizure and attachment powers, corporate liability provisions with due-diligence defences, and disposal procedures for seized stocks under criminal procedure. (AI Summary)

Open market value rule: invoice value may be treated as open market value when recipient can claim full input tax credit.
Where a supplier transfers goods to a distinct person who is eligible for full input tax credit, Rule 28's second proviso deems the invoice value to be the open market value for GST valuation. The first proviso-allowing an option to value at ninety percent of the recipient's resale price-applies only to "as such" supplies intended for onward sale and is elective. The provisos operate independently and are not subordinate to the primary clauses of Rule 28. (AI Summary)

Composition scheme: alternative service composition option introduced with eligibility limits, exclusions, Aadhaar and payment compliance.
An alternative composition scheme is inserted in section 10 to permit specified service and mixed suppliers to pay tax at a prescribed capped rate in lieu of normal tax, with express eligibility conditions and exclusions. Explanations exclude exempt supplies by way of interest or discount on deposits, loans or advances from aggregate- and State-level turnover computations and exclude early-year supplies made prior to registration. Aadhaar authentication requirements for registration, electronic payment option mandates for recipients, inter-head electronic cash ledger transfer mechanisms with Centre-State transfer rules, expanded Commissioner extension powers for return deadlines, an anti-profiteering penalty, and a National Appellate Authority for conflicting advance rulings are also introduced. (AI Summary)

Rights of registered persons cannot be subordinated to deficient GST software; administrative systems must enable transitional credit and refunds.
The note addresses entitlement to transitional input tax credit and refunds when departmental electronic systems prevent timely filing and utilization; it stresses that software limitations cannot defeat statutory rights, that administrators must process refund applications and issue reasoned orders rather than refuse relief on account of system incapacity, and that taxpayers should preserve filing efforts and seek judicial review where necessary. (AI Summary)

Transitional Input Credit: courts directed authorities to permit filing or acceptance where GST portal glitches prevented transitional form submission.
Transitional input tax credit claims required Form TRAN 1 filing under section 140, but GSTN portal technical failures prevented many assessees from uploading or rectifying entries; courts found such bona fide errors attributable to system limitations and directed authorities to reopen or enable the portal, accept manually filed TRAN 1, or otherwise facilitate backend processing so claims can be processed for eligibility in law. (AI Summary)

Transitional credit filing: permitted revision of TRAN-1 to protect legitimate input tax credits, with electronic refund and e invoicing reforms.
Operational relief under GST focused on allowing filing or revision of Form TRAN-1 to preserve legitimate legacy input credits, consolidated electronic refund procedures for fully electronic submission and processing of RFD-1 claims, and technology-driven reforms including a phased new return regime and an e invoicing system generating an Invoice Reference Number to replace physical invoices for larger taxpayers. (AI Summary)

Input Tax Credit on registration or supply changes allowed for stock and capital goods, subject to invoice age and reversal.
Section 18 permits claim of Input Tax Credit for inputs, inputs in semi finished or finished goods held in stock, and for capital goods when registering (compulsory or voluntary), transitioning from composition to regular tax, or when exempt supplies become taxable, subject to prescribed percentage adjustments for capital goods and an invoice age limit of one year; it allows transfer of unutilized electronic credit on change in business constitution, prescribes computation and manner for claims and reversals, and requires reversal or payment (via electronic credit or cash ledger) when opting into composition or when supplies become exempt, with special valuation rules for supply of capital goods. (AI Summary)

Input Tax Credit eligibility: conditions for claim, blocked categories, and provisional cap on non reconciled supplier invoices.
Input Tax Credit (ITC) is claimable by a registered person only when prescribed invoices are held, goods or services are received and used in business, supplier tax is paid and return filed, and payment to the supplier is made within a statutory period; ITC is subject to partial apportionment for mixed use and to full blocks for specified non business or excluded categories with narrowly defined exceptions, and a reconciliation regime with a capped provisional claim applies for invoices not appearing in supplier reported records. (AI Summary)

Minor investment via guardian: streamlined mutual fund processes and standardized transmission requirements for AMCs.
SEBI requires a uniform framework for investments made in mutual fund units in the name of a minor through a guardian, defining the guardian investment mechanism (payment methods, KYC on majority, and AMC controls to suspend standing instructions) and prescribing standardized transmission procedures, including image-based processing, a Central Help Desk and web page, common transmission and NOC forms, and a common set of required documents for AMCs to implement. (AI Summary)

Aggregate exposure cap on lenders' P2P investments imposed, with net-worth certification and mandatory risk declaration required.
Amendments impose an aggregate exposure cap on lenders' P2P investments consistent with their net worth, require a net-worth certification from a practicing chartered accountant where investments exceed a higher threshold, and mandate a lender risk declaration acknowledging platform non-guarantee of principal or interest. Escrow accounts may be operated by a bank-promoted trustee without requiring maintenance with the promoting bank, providing operational flexibility. (AI Summary)

Late fee waiver for delayed GSTR-1 filings provides conditional relief if pending returns are filed within the notified window.
Late fees for delayed furnishing of outward supply details in FORM GSTR-1 were reduced by notifications and, for specified historic periods, waived on the condition that pending GSTR-1 returns for those periods are filed within the specified filing windows announced by the notifications. (AI Summary)

Annual Return filing requirement and audit reconciliation procedures extended, enabling taxpayers to file after GST system updates.
Registered persons must file an annual return electronically under Section 44; those subject to audit must submit audited accounts and a certified reconciliation statement in Form GSTR-9C as required by Section 35 and Rule 80, with prescribed electronic filing through the common portal. Administrative orders extended due dates and form modifications and GSTN tool updates were issued to address system and data issues and to permit optional tables to ease compliance. (AI Summary)

Restriction on input tax credit refunds under inverted duty structure challenges executive rule limiting refunds and GSTN blocking credits.
The executive amendment limiting refunds under Rule 89(5) to inputs only is challenged as ultra vires and arbitrary because Section 54(3) vests a right to refund unutilised input tax credit for inverted duty supplies; likewise, notifications treating importers as reverse-charge payers for ocean freight are contested as lacking statutory basis where both provider and recipient of freight are outside India; and GSTN's state-restricted auto-population of GSTR-9 is criticised as an unauthorized administrative bar to claiming input tax credit irrespective of place of supply. (AI Summary)

Minor errors in e-way bill vehicle number limit enforcement to a nominal penalty rather than detention or large tax demand.
A clerical error limited to one or two digits/characters of the vehicle number in PART B of an e-way bill, where PART A, the invoice, and accounting records corroborate the consignment, is treated as a minor error. Administrative guidance prescribes that such errors should not routinely trigger detention under the statutory provision but attract a fixed nominal penalty, distinguishing inadvertent mistakes from conduct indicative of deliberate evasion. (AI Summary)

E-invoicing mandate introduced for specified taxpayers, invalidating invoices outside the notified e-invoice mechanism and tightening compliance.
Clarifications under the Sabka Vishwas (Legacy Dispute Resolution) Scheme set eligibility dates, permit adjustment of deposits made after show cause notices or under protest, deny refunds of excess deposits, allow proprietor-name processing and limited PAN waivers, and differentiate scheme discharge certificates from separate SCNs; the scheme will not be extended. Rule amendments mandate e-invoicing via notified common portals for specified registered persons and render invoices issued outside the prescribed e-invoicing mechanism invalid. Administrative steps include mandatory electronic Document Identification Numbers for specified communications and SOPs for non-filers, including best judgment assessment and provisional attachment. (AI Summary)

New GST return compliance requires vendor/customer GSTIN verification, IRN generation and updated agreement terms to secure input tax credit.
Taxpayers must prepare for the new return environment by maintaining complete vendor and customer masters with accurate GSTINs, confirming the taxpayer's GSTIN in counterpart records, updating accounting software for corrected GSTINs, and amending agreements to require timely e-invoicing and IRN generation by suppliers to protect the buyer's ability to claim input tax credit. Establishing a dedicated reconciliation team and ensuring IRN archival and e-way bill linkage to taxable sales are essential operational measures. (AI Summary)

Sabka Vishwas scheme limits amount payable to tax dues less tax relief; including redemption fine contradicts the statutory scheme.
SVLDRS requires payment of the statutorily defined amount payable-expressed as Tax Dues less Tax Relief-and the discharge certificate upon payment is conclusive and bars reopening; inclusion of redemption fine in the amount payable or blanket ineligibility for SCNs not demanding duty contradicts the scheme's definitions and eligibility provisions. (AI Summary)

Document Identification Number requirement mandates electronic DIN on all CBIC communications, with non DIN communications treated as invalid unless regularized.
All communications from the Office of CBIC must contain an electronically generated Document Identification Number (DIN) and be verifiable via the DDM portal; communications without a DIN are invalid except in narrowly defined exceptional circumstances. Exceptions must be expressly indicated and are subject to post facto regularization by superior approval, subsequent electronic DIN generation, and filing of the pro forma bearing the DIN. CBIC mandates officer training on DIN generation and has standardized communication formats for specified instruments. (AI Summary)