GST Council reforms ease compliance burden for real estate developers

India's GST Council approved process reforms on October 8, including simplified registration and dispute resolution changes, which experts say will ease administrative burdens for real estate developers operating across multiple states. The reforms include system-driven approvals for most registration amendments and streamlined processes for demand notices and appeals, focusing on reducing penalties in non-fraud cases. This addresses friction for developers managing compliance in various states and helps resolve disputes involving joint development agreements and input tax credit. The Council also recommended an alternate mechanism to protect genuine taxpayers from losing input tax credit if suppliers fail to deposit taxes, withdrew arrest powers under GST, and reduced general default penalties from ₹25,000 to ₹10,000.