After finalising GST rate rationalisation, the Centre offered its backing to states for broadening the tax base through data analytics, with tweaks to return filing and invoice matching poised to seal revenue gaps. Details shared already.
The current 1.7 crore taxpayers is the benchmark; officials say the figure could rise. Potential rise hinges on system reforms and e‑invoicing rollout.
E‑invoicing will launch in April, with an incentive model to nudge firms rather than mandate. Businesses with >₹5 crore turnover must now issue e‑invoices for B2B sales. Implementation will ease compliance.
Last week’s GST Council amendments will take effect from April, pending statutory amendments. Meanwhile, the Finance Ministry is eyeing an executive order to halt notices for demands below ₹10,000. A small shop owner in Jaipur says the change could reduce his monthly paperwork.
In the coming weeks, the Centre will sit with state teams to decide whether to halt input‑tax credit for the entire chain or target only errant entities. Some states argue that blocking credit can be used to harass players, while others reject allowing tax credit on automobiles used personally. The debate remains tense.
The next hearing will set the timetable for the April roll‑out and decide how to close loopholes, a move that could reshape the GST landscape for small and medium enterprises across India.