This blog covers the latest GST announcements, notifications, and changes from February 18 to February 24, 2025. Key updates include the Composition Scheme for FY 2025–2026, mandatory E-Way Bills for scrap suppliers, and important compliance deadlines.

With effect from February 15, 2025, NPCI has implemented new UPI transaction regulations that prioritize automated chargeback processing, fraud avoidance, and expedited settlements. Businesses and consumers would gain from these changes as they increase the efficiency and security of digital transactions.

The Union Budget 2025–26 brings key reforms in customs, excise, and service tax to promote domestic manufacturing, streamline tax compliance, and support economic growth. Changes include higher import duties on luxury goods, reduced raw material duties, and dispute resolution for service tax cases. These updates create opportunities for MSMEs, manufacturers, and digital businesses, while import-heavy sectors face challenges. Read on to understand the impact of these tax changes on businesses.

The Indian government has increased the TDS on rent threshold from 2.4 lakh to 6 lakh per annum. This move aims to reduce compliance burdens for tenants, ease cash flow for landlords, and align with rising rental costs. In this blog, we discuss the key changes, benefits, compliance requirements, and the impact on individuals and businesses.

This blog offers a thorough examination of the most recent GST announcements and modifications from January 28 to February 3, 2025. The hard locking of the automatically generated tax obligation in GSTR-3B, improved automation in submitting GST returns, clarifications of ITC eligibility, extensions of the GST return deadline for some industries, and improvements to the GSTN site are some of the major developments. The goals of these improvements are to increase taxpayer satisfaction, decrease mistakes, and improve compliance.

Significant GST reforms were implemented in the Union Budget 2025, with an emphasis on increasing transparency, reducing the tax burden on small enterprises, and boosting compliance. Stricter ITC claim regulations, e-invoicing requirements for companies with ₹5 crore in revenue, updated GST rates, and higher GST registration limits for MSMEs are some of the major changes. Although companies must adjust to more stringent laws, these changes seek to simplify compliance, increase economic growth, and streamline procedures.

The Income Tax Department (ITD) has started sending SMS alerts to taxpayers who have claimed Section 80GGC deductions for donations made to political parties and electoral trusts. The notice applies to Assessment Years 2022-23, 2023-24, and 2024-25 and urges taxpayers to verify their claims on the Compliance Portal. If the claim is incorrect, taxpayers must file an Updated Return (ITR-U) under Section 139(8A) before 31st March 2025 to avoid penalties under Section 270A (up to 200% fine) and interest under Section 234F (₹5,000 late fee). This blog explains Section 80GGC deductions, compliance requirements, and the steps to correct errors in tax filings.

The Income Tax Department's (ITD) capricious limitations on Section 87A refund applications have been invalidated by the Bombay High Court. The court decided that it was unreasonable for qualified taxpayers to be denied refunds due to technical constraints. Many people who were previously refused tax relief because of technical limitations now benefit from this ruling. To guarantee that rebate claims are handled efficiently, ITD must now modernize its systems. In order to get any refunds to which they are entitled, taxpayers should verify their status.

With effect from February 2025, the GSTN has implemented Phase-3 modifications for HSN code reporting in GSTR-1 and GSTR-1A. These modifications are intended to improve compliance, guarantee standardization, and increase data accuracy. Businesses may face initial difficulties, but there are substantial long-term advantages. To guarantee a seamless transfer, get ready today.

Significant changes were made to the GST this week (January 14–20, 2025) for both taxpayers and companies. Highlights include clarifications on e-invoicing thresholds, rate modifications for EV batteries and BPO services, GST Council meeting outcomes, and extensions for GSTR-3B reporting deadlines. To assist stakeholders in successfully navigating these changes, the blog discusses notices, compliance tactics, industry responses, and impending deadlines.

For transactions using IFSC units, the Ministry of Finance's notification S.O. 21(E), issued January 2, 2025, offers TDS exemption under Section 194Q. Businesses operating in these global financial zones can find it easier to comply with tax laws thanks to this program. Reduced administrative constraints for sellers and simpler procedures for buyers promote improved cooperation and help India realize its goal of becoming a major international financial center.

Significant adjustments to the Goods and Services Tax (GST) rates for popcorn have been recommended by the GST Council. By establishing consistent prices for packaged and unbranded popcorn, this amendment seeks to streamline compliance and guarantee equity. The adjustments may have an effect on government income, corporate profit margins, and consumer prices. Find out how the food and beverage sector may be impacted by this change and how companies may maintain compliance.