- Proposes allowing refund of input tax credit (ITC) on capital goods and for the edible oil sector to ease liquidity and reduce production costs.
- Highlights that current GST rules restrict ITC refunds on capital goods and in sectors like edible oil, causing working capital blockage and financial strain, especially for MSMEs.
- Notes that refund restrictions in the edible oil sector lead to ITC accumulation, liquidity crunch, and increased compliance burden.
- Suggests auto-population of the HSN summary in GSTR-9 from GSTR-1 to reduce duplication, clerical errors, and compliance workload.
- Criticizes recent GST rule changes made without proper legislative or council discussion, impacting substantive taxpayer rights.
Source: taxtmi.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "India"
- CBIC Hosts Outreach in Delhi to Promote Duty Deferment Scheme for Manufacturer Importers and MSMEs
- CBIC Removes ₹10 Lakh Cap, Launches Major Reforms for E-Commerce and Courier Exports in 2026
- India Grants Full Customs Exemption on Key Petrochemicals to Counter Supply Disruptions Until June 2026
- Residential Villa Construction Taxable as Composite Supply with Deemed One-Third Land Valuation under GST
- Maharashtra Hospitality Industry Urges Rollback of VAT and Liquor License Fee Hikes
