Input tax credit eligibility now depends on supplier communicated GSTR 2B status; disallowed items cannot be claimed and reversals apply.
A new eligibility condition requires that input tax credit details communicated to the recipient under the statutory communication mechanism are not restricted; credit shown as ineligible in the auto-generated inward-supplies statement (GSTR 2B) cannot be claimed. The prior provisional matching framework is removed in favour of taxpayer self-assessment; recipients must reverse credit where the supplier has not paid tax and may re-claim it once the supplier pays. The law also permits prescribing a maximum proportion of output tax dischargeable through input tax credit. (AI Summary)

GST rate and exemption changes reshape e invoicing, cash ledger transfers, ITC interest rules and return disclosures.
Taxpayers exceeding the notified turnover threshold but not required to invoice electronically must include a prescribed declaration on tax invoices. Electronic Cash Ledger payment modes expanded and intra PAN GSTIN transfers in a specified form are permitted for CGST and IGST. Interest for wrongly availed Input Tax Credit applies only where such credit has been both wrongly availed and utilized, and a new rule prescribes the method for calculating interest on delayed tax payment and on wrongly availed and utilized ITC. (AI Summary)

E invoicing threshold reduction expands compulsory e invoice coverage to mid sized taxpayers and affects B2B and export invoicing.
The turnover threshold for compulsory e invoice issuance has been reduced to twenty crore rupees in any preceding financial year, extending mandatory e invoicing to mid sized taxpayers effective from 1st April 2022. The requirement covers B2B supplies and exports; invoices issued without e invoicing by covered taxpayers are treated as invalid and subject to penalties. E invoice data will auto fill GSTR 1. Specified exclusions include non banking financial companies, transport agencies, SEZ business units and government departments. A trial of e invoice generation via the official portal or software is recommended before the effective date. (AI Summary)

Input Tax Credit matching linked to supplier communications, restricting ITC claims unless invoice details are communicated in outward supplies.
Amendments treat activities by non individuals to members as supply (deemed from July 2017), require that invoice details be furnished and communicated via outward supplies for Input Tax Credit eligibility, bar certain filings where summary returns are not filed, revise detention/seizure/confiscation penalties and timelines with pre deposit for appeals, expand attachment powers to include beneficiaries on initiation of proceedings, enlarge commissioner power to call information subject to hearing, mandate Aadhaar authentication for select filings, and adjust textile GST rates. (AI Summary)

Refund of Input Tax Credit clarified: NIL or exempt exports are not treated as subjected to export duty, enabling refunds.
Defines "subjected to export duty" for section 54(3) as goods actually leviable to and suffering export duty at export; NIL rated, exempted, or non scheduled goods are not treated as subjected to export duty and therefore not barred from claiming refund of accumulated Input Tax Credit under the first proviso to section 54(3). (AI Summary)

GST rate revisions and compliance clarifications update levy rules and limit interest to ineligible ITC availed and utilized.
The Council recommended extensions and adjustments of concessional and reduced GST rates on specified medicines and nil IGST on certain imports, increases in rates for selected goods to correct inverted duty structures, procedural measures including reverse charge on mentha oil and export restriction to LUT, permission to transfer unutilised cash ledger balances between distinct persons, e invoice physical copy dispensation, a proposal to amend section 50(3) retrospectively to charge interest only on ineligible ITC availed and utilized, and narrowing of section 54(3) refund restriction to goods actually subject to export duty. (AI Summary)

E-invoicing compliance mandatory for large taxpayers; related GSTR 2B, 3B and Aadhaar verification changes affect ITC and filings.
Mandatory E-invoicing requires reporting B2B invoices/CNs/DNs to an Invoice Registration Portal which issues a digitally signed e-invoice with an IRN and QR code; only IRN-bearing invoices are valid. GSTR 2B is a static auto-populated statement capturing supplier filings within a defined window and flagging invoices where ITC is ineligible due to expiry of the statutory time limit or disallowed supplier/recipient state-place-of-supply configurations. The temporary waiver of the 110% reconciliation condition has ended and cumulative adjustment is required in the relevant GSTR 3B. (AI Summary)

GST compliance deadlines extended and Aadhaar authentication mandated for new registrations, with related refund and ITC amendments.
March 2020 GST notifications and rule amendments prescribe transition arrangements for merged Union territories, registration and ITC treatment for corporate debtors under insolvency processes, and a temporary filing exemption for composition taxpayers who filed GSTR-3B instead of Form GST CMP-08. The CGST Rules introduce Aadhaar authentication for new registrations with physical verification when authentication is unavailable, detail reversal of ITC for partly exempt use of capital goods, revise refund procedures to allow re-credit to electronic credit ledger and set conditions for export-related ITC refunds, and allocate powers for disposal of seized goods while specifying extensions for return filing deadlines. (AI Summary)

GST filing deadlines adjusted with limited interest relief for large taxpayers followed by increased interest after initial period.
For larger taxpayers there is no extension of statutory GSTR-3B due dates but a concessionary interest regime applies: no interest for the initial fifteen-day delay, followed by a reduced interest rate until a specified date, after which standard higher interest with late fee and penalty will apply. Smaller taxpayers may file certain monthly returns without interest, late fee or penalty until the last week of June, and composition scheme opt-in, payment and filing deadlines for composition dealers are similarly extended; formal circulars and legislative amendments will effect these measures. (AI Summary)

GST compliance reforms: deferment of new return rollout and relief measures easing interest, refunds, registration and e invoicing.
Recommendations include charging interest on delayed GST only on net cash payment, a one time revocation window for cancelled registrations, extension and relaxation for annual return and reconciliation filings, deferral of the new return and e invoicing rollout with exemptions for certain classes, broadened refund filing across fiscal years with valuation ceilings and cash/credit sanctioning, safeguards against fraudulent input tax credit via verification and KYC, and operational Aadhaar authentication for new taxpayers. (AI Summary)

GST annual return simplification permits consolidated reporting and optional schedules, easing detailed disclosure requirements.
Extension and procedural simplification for filing of GSTR 9 and GSTR 9C permit net reporting of outward supplies including credit/debit notes and amendments within principal line items, consolidated reporting of exempted and non GST supplies, aggregation of input tax credit under primary input rows, and optionality for multiple summary tables including HSN. Reconciliation details may be uploaded as signed PDFs in GSTR 9C without mandatory CA certification, while specified transitional reversals must still be separately reported. (AI Summary)

Transit sale and e-way bill: a single e-way bill suffices for one physical movement; invoices, not e-way bills, determine GST credit.
Section 68 read with Rule 138 requires an e-way bill to be generated by the person causing movement to evidence carriage of consignments; where goods physically move once from consignor to consignee despite intermediate contractual invoices, a single e-way bill suffices and the portal's "Bill to-Ship to" and "Bill from-Dispatch from" options accommodate differing billing and dispatch parties. Input Tax Credit entitlement is governed by possession of prescribed tax documents under Section 16(2) and is not contingent on possession of an e-way bill; transport documentation and tax-credit eligibility are distinct compliance requirements. (AI Summary)

Sabka Vishwas scheme allows settling legacy excise disputes by paying reduced percentages of duty with full waiver of interest and penalty.
The Sabka Vishwas Scheme, 2019 permits settlement of legacy central excise disputes and voluntary disclosures by payment of specified duty percentages: disputed matters quantified/admitted by 30.06.2019 receive relief of 70% where duty Rs.50 lakh (payer pays 30%) and 50% where duty > Rs.50 lakh; confirmed demands with no appeal receive relief of 60% if Rs.50 lakh (payer pays 40%) and 40% if > Rs.50 lakh (payer pays 60%). Voluntary disclosures require full payment; interest and penalty are fully waived. The process is electronic with specific forms (SVLDRS 1 to SVLDRS 4), separate declarations per case, adjustment of pre deposits, and issuance of a Discharge Certificate on full payment. (AI Summary)

Sabka Vishwas amnesty scheme offers graded tax relief, waiver of interest/penalty and discharge on payment for legacy indirect tax disputes.
Sabka Vishwas Scheme provides graded percentage waivers of specified tax dues for legacy indirect tax disputes under enumerated enactments, subject to eligibility exclusions; waiver of interest and penalty is available in specified situations and voluntary disclosures receive penalty/interest waiver only on full tax payment. Pre deposits are adjusted against amounts payable without refund for excess. Procedural steps require declaration, administrative estimation or statement within set timelines, payment within 30 days of the statement, and issuance of a discharge certificate on payment, which conclusively bars further duty, interest, penalty, prosecution or reopening for the covered period. (AI Summary)

Input Tax Credit reconciliation: unreconciled or late ITC claims are treated as lapsed and cannot be subsequently claimed.
The press release clarifies that data for the annual return must align with Form GSTR-1, Form GSTR-3B and books; tax shortfalls should be declared and paid via DRC-03 while excess paid tax may be claimed as refund. ITC cannot be availed through the annual return and late-reported supplier credits that are not auto-populated in GSTR-9 are to be treated as lapsed. Aggregate turnover across registrations with the same PAN determines GSTR-9C filing obligation. Credit/debit notes and expense-head reconciliations must be reported where GST impact exists, and the accountant's role is limited to reconciling return values with audited accounts. (AI Summary)

GST procedural amendments: extensions of return deadlines, electronic invoicing, QR codes and post sale discount treatment clarified.
Procedural amendments extend filing deadlines for various GST returns and prescribe new compliance mechanisms: phased introduction of electronic invoicing with QR code mandates for specified tax invoices, requirement to furnish bank details within a stipulated period with cancellation risk for non compliance, inter head transfers in the electronic cash ledger via a prescribed form, and measures for refunds to airport departure retail outlets. A clarification treats post sale performance linked incentives as separate taxable consideration, while certain commercial credit notes do not require ITC reversal under stated provisos. (AI Summary)

GST amendments redefine supply and ITC eligibility, reshaping registration, reverse charge, and export-in-INR treatment.
Amendments refine GST compliance by expanding definitions (including race club activities and securities facilitation), removing business verticals and allowing separate registration by place of business with procedures for ITC distribution; they recast the Supply test to require qualification under the main provision before Schedule II, limit RCM to notified classes, increase composition thresholds and allow service supplies by composition dealers, introduce deemed receipt for services for ITC, restrict ITC on motor vehicles while permitting ITC for employer-obligatory food and beverages, and adjust registration, suspension, audit, ITC set-off, export-in-INR treatment, appeal pre-deposit caps, detention periods, job-work timelines, and Schedule III exclusions. (AI Summary)

Input tax credit on motor vehicles allowed only for specified uses; incidental travel GST may be claimable.
Input tax credit on GST paid in respect of motor vehicles is disallowed except where the vehicle is used for transportation of goods, further supply of the vehicle, transportation of passengers, or imparting driving training. Rent-a-cab input tax is similarly restricted, allowed only when used for further supply or under statutory obligation. The author treats "in respect of" as limited to vehicle purchase and permits credit for incidental expenses like insurance and repairs and for conventional travel; alternative expert views argue that related expenses are also excluded. (AI Summary)

e-Way Bill requirement: movement of goods above prescribed value mandates electronic waybill generation and carriage, with exemptions and validity.
An e-Way Bill is a mandatory electronic document for movement of goods above a prescribed value, generated on the GST e-Way Bill portal by the registered person or transporter before movement. It records party identities, goods, value and conveyance details; a unique e-Way Bill Number is issued. Obligations fall on registered persons, transporters and, in certain cases, recipients of supplies from unregistered persons. Valuation rules determine applicability and defined exemptions, validity periods, cancellation, consolidation, inspection reporting and a grievance mechanism govern procedural operation. (AI Summary)

GST registration threshold and return compliance revised, with mandatory monthly provisional returns and updated filing schedules.
Notified GST changes reframe registration and filing obligations: inter state taxable services are excluded from the basic threshold exemption through all India turnover computation. Return filing is tiered-monthly provisional GSTR 3B for all taxpayers and GSTR 1 on a monthly or quarterly basis depending on turnover-with GSTR 2/3 filing deferred pending committee review. Transitional due date extensions, temporary waivers and per day late fees are specified; late fees previously paid will be refunded to the e cash ledger. Composition eligibility limits are increased and specified exempt services are excluded from aggregate turnover; advances for goods suppliers are exempted in prescribed cases. Export refund procedures and duty credit script rates are also adjusted. (AI Summary)