Regarding goods and services tax (GST):

  • Restrictions are placed on input tax credit on activities pertaining to corporate social responsibility obligations as per Companies Act, 2013.
  • Penal provisions are introduced on electronic commerce operators for contravening provisions relating to supply of goods made through them by unregistered persons or composition taxpayers making interstate supplies.
  • The monetary threshold for launching prosecution for offences under the GST law is also increased to INR2 crore (from INR1 crore), except for issuance of fake invoices.
  • Certain offenses in the GST law are decriminalized, such as obstructing an officer from discharge of duties, possession of illegally supplied goods, and destruction of evidence/documents.
  • The online information and database access or retrieval services (OIDAR) of IGST Act are also proposed to be amended to remove the condition of rendering of the said supply being essentially automated and involving minimal human intervention.

Source KPMG