LatestIncome Tax 9 October 2026
GST Council Unveils Major Reforms Boosting Refunds and Credits
The 57th GST Council meeting announced sweeping changes that speed up tax refunds, broaden input‑tax credit eligibility, raise prosecution limits to Rs 5 crore and simplify compliance for exporters and small businesses. Parallel moves by the RBI removed a deferred‑option premium rule and the TDS portal shifted to direct filing, signalling a coordinated push to ease cash flow and reduce administrative burdens across India’s tax system.
Key reforms from the latest GST Council meeting
- Faster refunds: over 38,700 exporters will receive refunds more quickly, with new provisions for billing through overseas branches. Read more
- Wider Input Tax Credit (ITC): blockages removed and scope expanded to support more industries. Details
- Penalty relief: prosecution limit raised to Rs 5 crore, easing the burden on businesses. Source
- RBI update: removal of the deferred option premium provision from bank directions, improving liquidity for commercial banks. Read
- TDS filing change: statements can now be filed directly through the TRACES portal from FY 2026‑27, streamlining compliance. Info
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