Late fee amnesty extension expands filing window, revocation opportunities and EVC-based GST return filing access.
The Government extended the late fee amnesty closing date for reduced or waived late fees on FORM GSTR-3B for affected tax periods, widened the filing window for revocation of cancellation of registration limited to cancellations under clause (b) or (c) of sub section (2) of section 29 of the CGST Act, and further permitted EVC-based filing for FORM GSTR-3B and FORM GSTR-1/IFF to facilitate compliance.

HSN Code reporting requirement mandates digit-specific HSN in GSTR-1; technical issues can block filing and require corrective action.
Requirement to declare the HSN Code on tax invoices and in GSTR-1 is mandated with digit-specific reporting tied to aggregate turnover. Taxpayers must include the applicable HSN in Table 12 of GSTR-1. Reported operational issues include missing HSN entries in the Table 12 drop-down, blank HSN fields in JSON from the offline tool, and upload errors such as processing failures and duplicate invoice number rejections, for which taxpayers are directed to follow published corrective guidance.

Restriction on GSTR-1 filing: portal automatically blocks GSTR-1/IFF until required GSTR-3B returns are filed without officer approval.
Rule 59(6) bars furnishing outward-supply details in FORM GSTR-1 or via the Invoice Furnishing Facility until the registrant has furnished required FORM GSTR-3B returns for the specified prior tax-periods. The GST Portal will, from 1 September 2021, automatically check compliance on SUBMIT of GSTR-1/IFF, block filing with an error message if unmet, preserve saved records for later filing, and restore filing immediately upon receipt of the requisite GSTR-3B without tax-officer intervention.

Input tax credit fraud uncovered; alleged use of shell firms to pass fake ITC prompts arrests and ongoing probe.
Allegations of a racket to fraudulently pass on Input Tax Credit through shell entities prompted arrests after DG-GST Intelligence investigations traced creation and control of non existent firms issuing fabricated invoices. A chartered accountant is accused of managing identified fake firms and holding further incriminating evidence, while a partner at an accounting firm is accused of facilitating fake ITC transfers; both were remanded and further investigation is ongoing to identify additional controlled entities and documentary proof.

Audit compliance webinars provide taxpayer guidance on GST audit procedures with live Q&A and recorded sessions available.
GSTN has activated an audit functionality and is conducting multilingual webinars titled "Complying with Audit by Taxpayers" to familiarise stakeholders with compliance procedures; sessions are delivered by GSTN officials via YouTube with live chat Q&A and recordings available on GSTN's dedicated channel for later viewing.

GST Portal functionalities updated with module-wise resources and tutorial links for taxpayer compliance and guidance.
Implementation of new digital features on the GST Portal enhancing taxpayer interaction and compliance across core modules. The release documents a package of module-wise functionalities introduced for Registration, Returns, Advance Ruling, Payment, Refund and miscellaneous topics, together with related stakeholder outreach through webinars and informational videos and links to compiled release notes and GSTN YouTube videos.

Fraudulent input tax credit exposed as directors arrested for issuing fake invoices and passing illegitimate GST credits.
Allegations concern input tax credit (ITC) fraud through issuance of invoices without concomitant supply of goods; a firm allegedly used fraudulent invoices and fabricated transport records to show purchases from a non existent supplier, enabling it to claim and pass on ITC. Documentary evidence and statements linked two directors as central participants, who were arrested and remanded to judicial custody; an aggregate fraudulent ITC of Rs. 10.33 crore has been identified and the investigation is ongoing.

Bank account update requirement for GST registrations: taxpayers must furnish bank details via non-core amendment; system enforces compliance.
Bank account update requirement under the GST registration regime obliges newly registered taxpayers to furnish bank account particulars within the prescribed period after first login via the Non core amendment path; required fields include account number, IFSC, bank address and account type, verification by authorized signatory, and submission using DSC, e sign or EVC. The portal will prompt and enforce compliance for failures to update, and a success message plus acknowledgment are issued upon completion.

Blocking of e-way bill generation resumes; non-filing of consecutive returns will trigger e-way generation restriction.
Resumption of automated blocking of E-Way Bill generation from 15 August 2021 will occur where the system detects non filing of two or more monthly GSTR 3B returns up to June 2021 or two or more CMP statements for quarters up to April-June 2021; the portal will check Form GSTR 3B and Form GST CMP 08 filing status and restrict EWB generation accordingly, and taxpayers are advised to file pending returns or statements and consult the EWB portal user guide for blocking and unblocking procedures.

GST compliance verification strengthened through Aadhaar authentication and registration controls to curb tax evasion and fraudulent ITC claims
To prevent and detect GST evasion, GSTN/CBIC has implemented validations including Aadhaar authentication of new registrations with physical verification when authentication fails, verification of cancelled or existing registrations before issuing new registrations, powers to suspend or cancel registrations on departmental notice, bulk suspension/cancellation based on business intelligence and prolonged non filing, blocking of Input Tax Credit, and ITC verification through GSTR 2A generation.

Input tax credit fraud detection spurred strengthened registration, filing, e invoice and ITC blocking safeguards to curb misuse.
CGST formations detected ITC fraud totalling over thirty-one thousand crore in FY 2020-21 across 7,268 cases. To curb misuse the Government implemented measures including AADHAR authentication for new registrations, verification of existing or cancelled registrations, suspension and cancellation powers, bulk suspensions by GSTN, additional cancellation grounds for GSTR 1/GSTR 3B mismatches, blocking of GSTR 1 filing where multiple GSTR 3B returns are unfiled, mandatory e invoicing for specified B2B turnover, e way bill restrictions for non filing, and ITC blocking under Rule 86A where fraudulent availing is suspected.

GST revenue rebound signals recovery as collections rise and state receipts increase after pandemic disruptions.
The press release reports consolidated GST revenue for July 2021, detailing component-wise collections (central, state, integrated and cess), inclusion of import-related receipts and GSTR-3B filings, and the effect of temporary relief measures on reporting. It records routine IGST settlement transfers to CGST and SGST and compares month-to-month and year-on-year performance, attributing prior month weakness to COVID-related lockdowns and treating the July recovery as evidence of economic improvement, accompanied by a state-wise table of collections and growth rates.