Goods & Service Tax (GST) 15 September 2026
GCCs Confront GST After 18% Scrutiny
Sixteen months after Global Capability Centres (GCCs) were brought under Goods and Services Tax (GST) scrutiny for their export activities, the 18% GST rate remains a contentious issue. Industry leaders argue that the tax hampers competitiveness, while officials hint at possible policy revisions, leaving the future of the levy uncertain.
The GST regime continues to impact GCCs across India. Key points:
- 16 months after the tax was applied, the 18% rate is still in force.
- Companies claim the levy reduces export viability and raises operational costs.
- Government sources suggest a review is underway, but no firm timeline has been announced.
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