Late fee cap for GSTR 3B returns limits maximum penalty where tax liability exists if filed by the extended deadline.
A temporary cap limits the maximum late fee per GSTR 3B return for tax periods July 2017-July 2020, applicable where returns showing tax liability are filed by the extended deadline; returns that disclose no tax liability attract nil late fee.

Nil Form GSTR-1 can be filed by SMS using prescribed NIL and CNF messages with a one-time verification code.
Nil Form GSTR-1 can be filed via SMS when there are no outward supplies, amendments, credit/debit notes or advances to report. Eligibility requires valid GSTIN, chosen filing frequency (monthly/quarterly), an authorized signatory with a unique registered mobile number, and no saved/submitted online data for the same period. The SMS flow uses a prescribed NIL message, issuance of a one-time six-digit Verification Code (30-minute validity), and a CNF SMS with that code to generate an ARN and mark the return Filed on the portal.

Ease of Doing Business: simplify GST administration to speed return processing and allow quicker input tax credit access.
The Finance Minister prioritized simplifying GST administration to achieve Ease of Doing Business, calling for proactive resolution of taxpayer issues, streamlined return filing, faster processing of returns and prompt allowance of Input Tax Credit, and commending CBIC for refund disbursements and use of IT platforms during the COVID-19 pandemic.

Tax evasion via unregistered manufacturing uncovered; seizures and arrest triggered ongoing criminal tax investigation.
Unregistered manufacture and distribution of Pan Masala/Gutkha was detected after targeted searches recovered documents and electronic records showing systematic supply without GST compliance and continued operation during lockdown; preliminary data indicated substantial tax evasion, the main beneficiary was arrested under tax enforcement provisions and remanded to judicial custody, and further investigation continues.

GST revenue collection shows sequential recovery but remains below last year due to COVID 19 and relaxed filing timelines.
The release reports GST revenue collection for June 2020 with gross receipts split among CGST, SGST, IGST (including import of goods) and Cess, and notes regular IGST settlements to CGST and SGST producing net revenues for Centre and States. It attributes lower receipts to COVID 19 economic effects and relaxed return filing timelines, records sequential recovery across April-June, and references comparative percentages versus the prior year alongside accompanying trends and statewise tables.

NIL GSTR-1 filing via SMS simplifies return submission and enables code-based confirmation and portal tracking.
Taxpayers with NIL outward supplies may file a NIL statement in FORM GSTR-1 by sending a prescribed SMS to a designated short code, receiving a six-digit time-limited authentication code, and confirming filing via a follow-up SMS; successful validation issues an acknowledgement number and the return status can be tracked on the GST Portal.

Late fee reduction for past GST returns eases compliance burden and limits penalties for delayed GSTR-3B filings.
Late fee reduction and interest relief were recommended to address return filing pendency under GST: reduced or waived late fee for past non-filing of FORM GSTR-3B with nil fee where no tax is payable and a capped fee where tax is payable, and temporary reduction of interest rates for small taxpayers for specified months; relief applies for returns furnished within the notified relief windows.

NIL GST return via SMS enables taxpayers to file and confirm monthly GSTR 3B without logging into the portal.
The Government enabled filing of nil GST monthly returns in FORM GSTR-3B via SMS using a prescribed SMS format to obtain a time-limited filing code, followed by a confirmation SMS with that code; successful filings generate an ARN which can be used to track return status on the GST Portal.

GST compensation release supports state fiscal needs during COVID-19 by disbursing funds to legislatures for service delivery.
The Central Government disbursed a tranche of GST Compensation funds to States and Union Territories with Legislatures-Rs. 36,400 crore for December 2019 to February 2020-following an earlier release of Rs. 1,15,096 crore for April-November 2019, aimed at offsetting revenue shortfalls and supporting State/UT expenditure during the COVID-19 fiscal impact.

Late fee waiver under GST to be considered; change requires multilateral approval and aims to preserve filing discipline.
Waiver of late fee for historical non-filing of GSTR-3B returns is under consideration; the fee exists to ensure timely filing and protect compliant taxpayers. Recent pandemic-related late fees were waived for a limited period, but older liabilities are not addressed. Any change to the historical late fee requires multilateral approval and will be placed on the agenda of the GST Council for discussion.

GST refund authenticity: use only the official portal for refund claims to avoid phishing and data theft.
Fraudulent messages and imitation portals are circulating to obtain GST refund information; taxpayers must use the official gst.gov.in portal only, because the GST Network does not request personal, refund or KYC details via email, WhatsApp, SMS or other websites. Taxpayers should not reply to such messages, open links or provide information on non official platforms and should consult the portal's refund help pages or the official helpdesk for assistance.

HSN/SAC code requirement streamlines ITC refund verification and prevents ineligible claims during relief measures.
Requirement to provide HSN/SAC codes with refund applications integrates classification into the application to streamline verification and prevent processing of ineligible or fraudulent ITC refund claims. The GST Council also allowed bunching of tax periods across financial years to aid exporters and extended due dates for affected applications; refunds of ITC on services and capital goods remain disallowed in certain categories such as inverted structure and specified export related claims.

GST revenue collection shows contraction in monthly and import receipts, affecting central and state settlements.
Gross GST revenue in March 2020 comprised central, state, integrated and cess components and declined year-on-year; the Centre carried out regular IGST settlements to CGST and SGST and apportioned an unsettled IGST balance on an ad-hoc 50:50 basis between Centre and States/UTs, producing specified post-settlement receipts. Domestic receipts fell for the month while import GST fell more sharply; annual figures show modest domestic growth but a fall in import-derived GST, and state-wise collections display mixed growth.

Fraudulent Input Tax Credit schemes prompt arrests under CGST provisions after probe reveals fake invoices and ITC circulation
Investigation revealed a network of sham firms issuing fake GST invoices and rotating fraudulent Input Tax Credit among non existing entities to obscure the trail, then passing ITC to end recipients who paid by bank and received cash back after commission; searches yielded cash, corporate paraphernalia, digital signature devices, payment instruments and identity documents, and the conduct is being prosecuted under the CGST Act with arrests made and further investigations continuing.

Input Tax Credit fraud exposed; arrests and provisional attachments enforced under CGST provisions to curb fake-invoice GST evasion.
Investigation found a network of fictitious suppliers and shell firms issuing fake invoices to enable wrongful availment of Input Tax Credit; funds were routed through bank accounts and withdrawn in cash, indicating money laundering. Searches, summonses and provisional attachment of property and bank accounts were undertaken under the CGST Act when authorised signatories absconded or evaded investigation, leading to arrests and remands while further probe continues.

False GST refund claims uncovered, triggering arrests, recovery measures and withholding of pending refunds under CGST law.
Investigations found coordinated creation of non operational firms in Delhi NCR submitting fabricated invoices to claim accumulated Input Tax Credit refunds without actual supply of goods. Two individuals obtained KYC documents from proprietors to operate the scheme; searches, confessional statements and arrests followed. Administrative responses included payment of some refunds, partial recovery and withholding of pending claims, and criminal proceedings under Section 69 of the CGST Act.

GST rate change: higher tax on mobile phones, unified matches rate, reduced MRO services with full input tax credit.
The Council recommended increasing the GST rate on mobile phones and specified parts to correct an inverted duty structure; rationalising all types of matches to a single unified rate to address classification issues; and reducing the GST rate on aircraft Maintenance, Repair and Overhaul services with full input tax credit while shifting the place of supply for B2B MRO services to the recipient's location to support domestic MRO development. Notifications were proposed to give effect to these recommendations.

Linking of GST returns to prevent evasion: connect GSTR-1 with GSTR-3B, match credits to supplier data and boost IT capacity.
Recommendations direct an incremental IT-led GST transition: first link outward supplies in FORM GSTR-1 to liability in FORM GSTR-3B, then link input tax credit in FORM GSTR-3B to FORM GSTR-2A; implement Aadhaar authentication and spike rules to prevent evasion; augment IT capacity through hardware procurement and deploy sixty additional staff on time-and-materials terms, with continued technical oversight from the vendor representative and an expedited implementation timetable.

Net cash tax liability interest to be charged on delayed GST payments, with procedural relaxations and deferments following.
Recommendations revise GST procedures: interest on delayed tax to be charged on the net cash tax liability from 01.07.2017; extended windows for revocation of registration and filing of annual returns with reliefs for smaller taxpayers; waiver of FORM GSTR-1 for certain taxpayers; special compliance procedures for corporate debtors in CIRP; deferment of e-invoicing and QR code implementation for specified classes; extensions for e-wallet finalisation and import exemptions; restrictions on passing input tax credit pending physical verification and KYC; and rule amendments on ITC reversal for capital goods, export refund calculation and Aadhaar authentication.

IGST refund fraud investigation leads to arrests and ongoing probes into circular trading and fake supplier networks.
Fraudulent IGST refund claims were enabled by a controlled network of non existent or circular trading suppliers issuing invoices without commensurate purchases, allowing exporters to pass on ineligible input tax credit and obtain refunds; two directors were arrested under Section 69(1) in connection with alleged offences under Section 132(1)(b) and 132(1)(c), and investigations into other suppliers and persons continue.