External Commercial Borrowings framework expands eligible borrowers and streamlines automatic route approvals with strengthened reporting.
The circular replaces the prior multi track regime with a unified External Commercial Borrowings (ECB) framework distinguishing foreign currency and rupee denominated ECBs, broadens eligible borrowers to those entitled to receive FDI plus specified public and not for profit entities, and requires recognised lenders to be resident in FATF or IOSCO compliant jurisdictions. Compliant ECBs within prescribed parameters qualify for the automatic route subject to an annual limit, with designated AD Category I banks responsible for verification, mandatory Loan Registration Number prior to drawdown, monthly Form ECB 2 reporting, and payment of Late Submission Fees for delayed filings.

Public issue procedures for InvITs refined to restrict anchor investor eligibility and require ASBA-only bidding and electronic platform use.
Subscription and bidding mechanics are standardized to an ASBA-only payment mechanism and exclusive use of recognised stock exchanges' electronic bidding platforms. Investors must submit bid-cum-application forms through SCSBs or prescribed intermediaries, who are responsible for uploading bids, stamping and acknowledging applications and submitting them for fund-blocking. Stock exchanges must validate DP/Client/PAN details daily, permit limited on-file modifications to specified fields, provide transparent electronic bidding facilities, and enable investor status viewing and alerts via websites, SMS and email.

ASBA mandatory for REIT public issues, requiring electronic bidding, intermediary upload duties and stock-exchange validation and alerts.
The circular mandates ASBA for all REIT public issues and requires bidding exclusively through recognised stock exchanges' electronic platforms. Investors must submit bid-cum-application forms to SCSBs or authorised intermediaries, who must upload bids, stamp and acknowledge applications and arrange fund blocking. Stock exchanges must validate DP ID/Client ID and PAN with depository records daily, allow limited modification of either DP ID/Client ID or PAN (but not both) and specified bank/location fields, provide applicant status updates and alerts, and ensure blocked funds are adjusted for bid revisions.

EGM errors delay IGST export refunds; custodians, shipping agents and preventive officers must file and reconcile EGMs and stuffing reports.
Errors in Export General Manifest (EGM) filings, mismatches between local and gateway EGMs, and non-filing of stuffing reports by Preventive officers obstruct automated IGST refund processing. Custodians, shipping lines and agents must maintain tally sheets linking previous and new container numbers and Bills of Lading; inland stakeholders must file local EGMs online before movement. Preventive officers shall enter stuffing reports and may use the PREV OFF role and Gateway EGM CTR Amendment option to correct container and N/C errors; shipping lines may file supplementary EGMs where none exist.

Refund Procedure Enhancement: online upload of supporting invoices with GST refund claims to streamline sanctioning and address IGST errors.
Notifications, Circulars and Orders implementing 31st GST Council recommendations introduce a facility to upload all supporting documents and invoices online with Form GST RFD-01A to facilitate refund claims. A CBIC Circular delineates stakeholder roles in the IGST refund sanction process, addresses SB006 error-related delays, and provides a grace period for filing EGMs of past cargo consignments without penal consequences to enable sanctioning of held refunds.

SAD refund drive requires claimants to submit prescribed documents for pending refunds; unsubmitted cases decided on available records.
A special SAD refund drive from 16 to 31 January 2019 requires importers, customs brokers and stakeholders to submit replies and prescribed documents for pending SAD refund claims to the SAD Refund Sections; claimants with remanded matters or outstanding orders/payments must approach the section with valid acknowledgements for processing, otherwise cases will be decided on the basis of available records.

GST liability on BF/BC services: banking companies are the service providers and bear tax on customer service charges.
Under the RBI BF/BC model the banking company is the service provider and is liable to pay GST on the full value of service charges or fees charged to customers, whether or not collected via BF/BC. Exemption for services in relation to accounts in a rural area branch is available only where services by BF/BC fall under Heading 9971 and relate to a branch classified as rural in accordance with RBI guidelines; the bank's RBI-based classification should govern eligibility.

GST exemption for educational institution food services applies when the institution supplies meals; contracted caterers remain taxable.
Supplies of food and beverages provided by an educational institution to its students, faculty and staff are exempt from GST under the exemption entry for educational institution services where the institution itself makes the supply; supplies by any other person under contract with the institution are taxable at the rate prescribed for food and beverages. The exemption depends on the descriptive coverage of the exemption entry rather than the indicative chapter/heading codes, and administrative amendments were made to remove ambiguity in the rate notification and to add the relevant heading to the exemption entry.

Service classification of printing of pictures confirmed as photographic processing services, attracting the higher applicable GST rate.
Printing of pictures falls under 998386 Photographic and videographic processing services, which includes developing negatives, colour printing of images from film or digital media, reprints and related processing, and is excluded from 998912. The circular directs that printing of pictures be classified under 998386 for GST purposes, noting that the two service codes attract different GST rates and that incorrect classification may lead to short payment of tax.

Immunity from taxation leads to GST exemption for services supplied by multilateral development banks, excluding agents.
The enabling statutes grant immunity from taxation and from obligations to pay, collect or withhold taxes for the multilateral institutions and their authorised operations; accordingly, services directly provided by those institutions are exempt from GST. This exemption arises from statutory immunity and accompanying precedent holding that where the provider is absolved of tax-collection duties there is no scope to tax the recipient. The exemption does not extend to entities appointed by or acting on behalf of the institutions.

Educational institution status under IIM Act enables GST exemption for long duration IIM programmes from levy.
With effect from 31 January 2018, all scheduled IIMs qualify as educational institutions under the cited notification, making services to students in long duration programmes (one year or more) that confer law recognised degrees or diplomas exempt from GST; by contrast, short duration executive programmes awarding participation certificates (less than one year) are not exempt and attract standard GST.

GST rate for micro irrigation covers sprinklers and drip irrigation systems including laterals under the notified classification.
The term sprinklers in the Schedule II entry includes sprinkler irrigation systems; accordingly, sprinkler systems consisting of nozzles, laterals and other components fall within the notified classification for micro irrigation and attract the recommended GST rate. Micro irrigation encompasses drip emitters, subsurface drip, micro-spray and micro-sprinkler methods.

GST classification clarified for specific goods; feed inputs, domestic LPG, plastic bags, wood logs and machinery treatment specified.
Clarification on GST classification and rates: unbranded Chhatua/Sattu under HSN 1106 is exempt while branded/packed is taxable; fish meal and other raw materials for animal feed falling under HSN 2301 attract the relevant rate for flours/meals and are not covered by the nil entry for prepared feeds; feed supplements are classified by form and trade use between headings 2309 and 2936. LPG supplied for domestic use in bulk to OMCs is eligible for the domestic entry; PP woven/laminated bags fall under HS 3923; wood logs for pulping under 4403; bagasse boards under the concessional bagasse entry; embroidered three piece fabric packs remain classed as fabric; WTEP concession applies only to goods in chapters 84,85,94 with end use verification; turbochargers classed under 8414; interstate movement of machinery on own account for provision of services is not a supply.

Electronic submission of GST refund claims streamlines filing and triggers officer review and statutory processing timelines.
Refund claims in FORM GST RFD-01A must have all supporting documents uploaded on the common portal before ARN generation; ARN triggers electronic transfer to the jurisdictional proper officer and starts statutory timelines. Net ITC for inverted duty refunds includes ITC on all inputs availed in the relevant period regardless of rate; reversed ITC is not treated as availed for refund. Compensation cess refund is to be recomputed for past periods as if cess ITC had been available then, subject to export payment method exclusions. Applications generated but not received are governed by re-credit and notice procedures.

Export of services: full contract value treated as export if reverse charge tax paid and RBI permits retention abroad.
Where an Indian supplier exports services but outsources part to a non resident supplier, the contract gives rise to (i) export of services by the Indian supplier for the full contract value and (ii) import of services by the Indian supplier for the outsourced portion. The Indian supplier must pay integrated tax on the imported portion under reverse charge and may claim input tax credit. If the foreign recipient pays the non resident supplier directly, the full contract value may still be treated as export provided reverse charge tax on the imported portion is paid and RBI permits retention of export consideration outside India.

Composition option effective date clarified: withdrawal effective as stated; denial may be retrospective from date of contravention.
A taxpayer's voluntary withdrawal from the composition scheme takes effect from the date indicated in FORM GST CMP-04, not earlier than the start of that financial year. Where authorities deny the composition option after issuing FORM GST CMP-05 and ordering in FORM GST CMP-07, the denial may be effective from the date of option or the date of contravention but not earlier than the contravention; proceedings for determination of tax, interest and penalty must be initiated for the period from contravention to the order, and tax liability as a normal taxpayer arises from the date of the order.

Taxability of government disposals: government departments must register and remit GST when selling used or seized goods to unregistered buyers.
Supply of used, seized or scrap goods by government entities to unregistered persons is taxable under GST and the supplying department must register and pay tax; supplies to registered persons remain subject to reverse charge. Assessment linked penalty provisions apply only when assessment proceedings are invoked; late payment with interest after return filing does not normally attract that penalty, though general penalties may be imposed. Debit/credit notes issued for price revisions on or after the appointed day are treated as outward supplies under GST and GST rates apply; taxable value includes Tax Collected at Source; consignor or consignee is owner when documents accompany consignment, otherwise the proper officer determines ownership.

Exemption for multilateral development and international financial institution services affirmed for indirect taxes, excluding agents or appointees.
Exemption from indirect taxation is affirmed for services provided directly by specified multilateral development and international financial institutions under their constitutive Acts, and that exemption under GST does not extend to entities appointed by or acting on behalf of those institutions; the GST clarification applies mutatis mutandis to Service Tax.

Export Obligation Extension granted for certain raw cashew advance authorizations with a composition fee on unfulfilled FOB value.
A one-time additional extension in the Export Obligation Period is allowed for Advance Authorizations issued up to 30.06.2016 involving import of Raw Cashew (SION E-8), as a policy relaxation, subject to a composition fee charged monthly on the unfulfilled FOB value of the export obligation; the measure follows a request by the industry and approval by the Policy Relaxation Committee and DGFT.

Bonded warehouse operations continuation in public warehouses permitted for previously authorised operators pending compliance transition and procedures.
Permission is authorised to continue manufacturing and related operations in public bonded warehouses for operators who held jurisdictional permission under the prior regime, notwithstanding the streamlining directive directing such operations to private bonded warehouses; continuation is subject to existing permissions and compliance with the prescribed procedures for record maintenance and discharge of duty liabilities, and stakeholders facing difficulties should report to the Commissioner of Customs, Chennai-IV.