GST Council's 57th meeting: Key reforms for taxpayers, businesses, and consumers

The GST Council's 57th meeting in New Delhi on Thursday, October 8, will focus on procedural and structural reforms rather than broad-based tax rate changes, aiming to simplify the system for businesses and taxpayers. Key proposals include faster GST refunds with a potential 17-day processing timeline, wider input tax credit (ITC) refunds under inverted duty structures, and simplified registration for small e-commerce sellers. The Council is also expected to consider limiting arrest powers for tax officers, raising the prosecution threshold from Rs 1 crore to Rs 5 crore, and protecting genuine businesses from losing ITC due to supply chain defaults. The meeting, chaired by Union Finance Minister Nirmala Sitharaman, was postponed from October 7. While no broad rate changes are expected, discussions may address specific classification issues. Consumers could indirectly benefit from lower compliance costs over time, while businesses may see more immediate impacts on working capital and litigation.