Input tax credit refund basis shifted to FORM GSTR 2B, limiting refundable ITC and updating RFD 01 undertakings accordingly.
Refunds of accumulated ITC under section 54(3) shall be restricted to ITC reflected in FORM GSTR-2B for the relevant tax period or earlier periods where credit is available; this applies to refund claims from January 2022 onwards and modifies prior circulars referencing GSTR-2A. The undertaking in FORM RFD-01 is amended to remove references to section 42 and FORM GSTR-2/3 while retaining the obligation to repay refunded amounts with interest if clause (c) of section 16(2) is later not complied with. Export-related rules permit refund of unutilized ITC and refund of integrated tax paid under Rule 96A when export or payment realization subsequently occurs, but not refund of interest.

Holding of shares by a parent company is not a taxable supply of service under GST law.
Holding of shares by a holding company in its subsidiary does not, by itself, constitute a supply of services and is not taxable under GST; securities, including shares, are neither goods nor services, and a Service Accounting Code entry does not convert mere ownership into a taxable supply without an actual supply as defined under the Assam GST Act.

Input tax credit on warranty replacements not reversed; free warranty repairs not taxable unless extra consideration charged.
The value of the original supply by a manufacturer includes anticipated warranty replacement and repair costs; where replacements or repairs are provided during warranty without separate consideration, no additional GST is chargeable and no reversal of input tax credit is required. If additional consideration is charged to the customer, GST applies to that consideration. Distributor-manufacturer arrangements are taxable or not depending on whether the distributor issues a taxable invoice to the manufacturer, the manufacturer supplies parts to the distributor without consideration, or a credit note and ITC reversal mechanism is involved. Repair services billed by the distributor to the manufacturer are taxable, and extended warranties sold at sale are composite supply while those sold later are separate taxable contracts.

TCS collection rule: supplier side platform collects TCS if it remits payment; buyer side collects when supplier is also an operator.
Where multiple e commerce operators participate in a supply, the operator who ultimately releases payment to the supplier must collect applicable TCS, remit it to the Government and perform section 52 compliances; if the supplier itself is the operator disbursing payment, the buyer side operator must collect and remit TCS and fulfil section 52 obligations.

Input tax credit reconciliation: guidance clarifies permissible provisional ITC where supplier reporting differs, subject to statutory conditions.
Clarification governs differences between Input Tax Credit (ITC) claimed in FORM GSTR-3B and ITC shown in FORM GSTR-2A for 01.04.2019-31.12.2021, reaffirming that ITC admissibility is subject to Section 16 conditions including payment of tax by the supplier. It prescribes that Circular No. 131/2021-GST applies for pre-rule periods, and that rule 36(4) permitted provisional additional ITC from 09.10.2019 with period-specific caps (20%, 10%, 5%) subject to verification and certificate production; post-01.01.2022 ITC is limited to amounts in FORM GSTR-2B. The guidance is clarificatory and applies to ongoing and pending proceedings for the period.

Interest on wrongly availed IGST credit: chargeable only if total ITC pool falls below the wrong credit amount.
For interest under rule 88B and section 50(3), the test of utilisation of wrongly availed IGST credit compares the wrongly availed amount with the total input tax credit balance in the electronic credit ledger across IGST, CGST and SGST; no interest arises if the aggregated balance never falls below the wrongly availed amount, while any shortfall in the aggregated balance measures utilisation and attracts interest. Compensation cess credit is excluded from this aggregated balance.

Input tax credit linkage to FORM GSTR-2B restricts refund of accumulated ITC to credits reflected in GSTR-2B.
Refund of accumulated input tax credit under section 54(3) is restricted to ITC reflected in FORM GSTR-2B; this restriction applies to refund claims for tax periods from January 2022 onwards. The undertaking in FORM RFD-01 is amended to remove references to the omitted section 42 and to FORM GSTR-2/3, while retaining an undertaking regarding clause (c) of sub-section (2) of section 16. Adjusted Total Turnover must include export value as determined by the Explanation to sub-rule (4) of rule 89. Exporters who later export goods or realize payment may claim unutilized ITC and IGST paid, but not interest paid under rule 96A.

Input tax credit and GST on warranty replacements clarified: no GST on gratis warranty repairs unless extra consideration is charged.
Replacement parts and repair services supplied free during a warranty period are included in the value of the original supply and not subject to further GST where no separate consideration is charged; additional consideration triggers GST. The manufacturer need not reverse input tax credit for such gratuitous warranty work. Distributor interactions are taxable or non taxable depending on whether the distributor charges the manufacturer or receives parts from the manufacturer without consideration. Repair services invoiced to the manufacturer by the distributor are taxable with ITC available. Extended warranty sold at supply forms part of the composite supply; purchased later is a separate taxable contract.

TCS liability where multiple e commerce operators exist: collector depends on which ECO releases payment and supplier status.
Clarification distinguishes two scenarios for multiple E-commerce Operators: if the supplier side ECO is not the supplier, the supplier side ECO who ultimately releases payment must collect and remit TCS and complete statutory compliances; if the supplier is itself an ECO, the buyer side ECO that collects payment must collect and remit TCS and fulfil related obligations. The circular also requests trade notices to publicize the guidance and solicitation of implementation difficulties to the Chief Commissioner.

Input tax credit limits clarified for GSTR 3B vs supplier records, setting allowable excess and verification requirements.
Clarification addresses reconciliation of Input Tax Credit differences between FORM GSTR-3B and supplier-reported details for 01.04.2019-31.12.2021, explaining that temporary facilitative limits allowed additional ITC subject to the supplier-payment condition, prescribing percentage ceilings for successive subperiods, requiring verification and documentary certification, noting cumulative adjustment mechanics for specified multi-month spans, and limiting application to ongoing scrutiny, audit, adjudication or appeal proceedings for the stated period.

Interest on wrongly availed IGST credit arises only when aggregate ITC falls below the wrongly availed amount.
Interest under section 50(3) and rule 88B is triggered only when the total input tax credit balance in the electronic credit ledger, taken together under IGST, CGST and SGST, falls below the amount of wrongly availed IGST credit; the extent of interestable utilization equals the shortfall of that aggregate balance. Compensation cess credit is excluded from the aggregate and cannot be used to avoid interest, since it is usable only for compensation cess payment.

Export quota allocation for broken rice extended on humanitarian grounds; licence applications for specified countries accepted until extended deadline.
Allocation of quota for export of broken rice on humanitarian and food security grounds is amended to allow additional licence applications from specified foreign governments; officials are directed to accept and consider outstanding applications for exports to the listed countries within the extended submission period under the existing procedural and eligibility conditions.

ESG investing rules: Mutual funds must adopt defined strategies and enhanced disclosures to curb greenwashing and improve transparency.
Introduction of a separate regulatory sub-category for ESG schemes requires Mutual Funds to offer multiple equity thematic schemes distinguished by defined ESG strategies, with a minimum 80% AUM allocation to equity instruments aligned to the chosen strategy; from October 1, 2024 at least 65% of AUM must be in companies reporting comprehensive BRSR with assurance on BRSR Core, subject to a transitional compliance window and prohibitions on fresh investments without assurance during that period.

Section 65 audit powers authorize designated state tax officers for specified financial years within assigned territorial jurisdictions.
The Commissioner of State Tax confers Section 65 audit powers on specified Assistant, Deputy and Joint Commissioners of State Tax under the Bihar Goods and Services Tax Act, 2017. The authority applies to audits concerning financial years 2017-18 and 2018-19, subject to the period assigned to each officer. Each officer's authority is limited to the respective divisional or zonal jurisdiction allocated to them.

Inter-office supply valuation: invoice value deemed open market value where recipient claims full input tax credit.
For common input services procured by a Head Office from a third party and attributable to the Head Office and one or more Branch Offices, the Head Office may either distribute ITC via the Input Service Distributor mechanism (subject to mandatory ISD registration) or issue tax invoices to Branch Offices so they may claim ITC; such distribution or invoicing is permitted only where the services are attributable to or actually provided to the receiving Branch Office. For internally generated services, when the recipient Branch Office is eligible for full ITC the invoice value is deemed the open market value irrespective of included cost components; if recipient is not eligible for full ITC, HO salary costs need not be mandatorily included in taxable value.

E-invoice obligation requires suppliers exceeding turnover threshold to issue e-invoices for supplies to government entities registered for TDS.
E-invoicing is required for supplies made to government departments, establishments, agencies, local authorities, and PSUs that are registered solely for deduction of tax at source, because such entities are treated as registered persons under the GST law; suppliers whose turnover exceeds the prescribed threshold must therefore issue e-invoices for supplies to these TDS-registered government entities.

Taxability of shareholding: holding shares in a subsidiary is not treated as a supply under GST and not taxable
Holding of shares in a subsidiary by a parent company is not, by itself, a supply under section 7 of the APGST Act and therefore not taxable under GST. Securities, including shares, are neither goods nor services; SAC classification alone does not establish a taxable service, and purchase or sale of shares is not inherently a supply of goods or services.

Trading window PAN freeze for designated persons extended to all listed companies in phased implementation to restrict trading.
SEBI extends a phased framework requiring freezing of PAN at the ISIN level to restrict trading by Designated Persons during trading window closures under Clause 4 of Schedule B read with Regulation 9 of the PIT Regulations. Listed companies must confirm DP details and closure dates via a Designated Depository portal at least two trading days before commencement; the DD shall relay information to stock exchanges and other depositories by T 1 day and update daily. Depositories will restrict off-market transactions and pledges, and stock exchanges will block on-market trading for the closure period, with additions, updates and exemptions processed within two trading days.

State coordination committee for GST authorities to coordinate data sharing, anti-evasion action and unified administrative responses.
Creation of a State Co-ordination Committee of State and Central GST authorities, co-chaired by Central and State Chief Commissioners with rotational convenership, constituted on a perpetual basis and meeting quarterly. Its mandate covers data and knowledge sharing on evasion and audit matters, preventing fake input tax credit, exchanging audit findings, maintaining field contact details, referring reforms to the GST Council Secretariat and policy wings, coordinating taxpayer facilitation and grievances, adopting a uniform litigation position, avoiding duplicate investigations, and conducting local coordinated verification drives.

Inter-office service taxation: clarifies ITC distribution, invoicing, and valuation rules for distinct persons under GST.
Where a Head Office procures common input services for itself and branch offices, it may either distribute input tax credit using the Input Service Distributor mechanism (with mandatory ISD registration if chosen) or issue tax invoices to branch offices so they can claim ITC; distribution or invoicing is permissible only if the services are attributable to or actually provided to the branch. For internally generated supplies, the invoice value is deemed open market value when the recipient is eligible for full ITC irrespective of included cost components, and salary costs need not be mandatorily included where full ITC is not available to the recipient.