Transitional Input Tax Credit preserved despite retrospective timing amendment, as timelines deemed directory and credit treated as vested right.
The Delhi High Court held that the Brand Equity reasoning survives a retrospective amendment inserting a time limit into the transitional GST provision. The Court found the delegated classification of timelines arbitrary and vague, treated transitional Input Tax Credit as a vested right protected under Article 300A, and concluded that procedural timelines are directory because no consequences for non-compliance are prescribed and timelines have been extended historically. (AI Summary)

Market-led reform: reduce government intervention and pursue privatization, banking efficiency and export-led growth to boost wealth creation.
The Survey urges a shift to market-led wealth creation by reducing government interventions that distort markets, promoting pro-business competitive policies, and encouraging entrepreneurship at the district level. It endorses an export-oriented "Assemble in India" approach, recommends addressing logistics and regulatory bottlenecks to improve ease of doing business, calls for efficiency improvements in Public Sector Banks through data-driven credit monitoring via a GSTN-like entity, and advocates aggressive disinvestment of central public sector enterprises to boost profitability and competitiveness while reaffirming sustainable development commitments. (AI Summary)

GST audit powers require proactive record review and precise reconciliations to avoid departmental notices and recovery proceedings.
Section 65 authorises audit of any registered person, at the place of business or the officer's office, for a financial year or part thereof; audit commencement depends on availability of records. The department must complete audit within a statutory period, with a recorded extension possible. Officers may require facilities, documents and assistance; on conclusion they must communicate findings, reasons and the auditee's rights. Detection of tax not paid, short paid, or input tax credit wrongly availed or utilized may trigger proceedings and issuance of a show cause notice under the GST recovery provisions. (AI Summary)