From Financialexpress · FE Business · · 1m
GST Council May Scrap Arrest Powers
GST Council could remove arrest powers for tax offences after business complaints.
In brief
GST Council could remove arrest powers for tax offences after business complaints. The GST Council may scrap arrest powers under GST law to address business concerns about tax overreach, requiring legislative changes. Originally reported by Financialexpress.
GST Council Meeting
The GST Council will consider removing arrest powers under the Goods and Services Tax regime at its October 7 meeting.
Business Concerns
Businesses flag tax authorities’ overreach as arrests disrupt operations, prompting government consultations over eight to nine months.
Recent Arrests
Recent arrests of senior functionaries under GST provisions have intensified discussions about tax overreach.
Proposed Change
The GST Council will take up the matter and require legislative changes to remove arrest provisions after final decision.
Legislative Action
The Centre plans to bring an amendment during Parliament’s Winter Session to enable the proposed change to GST law.
What Happens Next
Intentional fraud and deceit will still face criminal action under the Bharatiya Nyaya Sanhita.
The takeaway
The GST Council may scrap arrest powers under GST law to address business concerns about tax overreach, requiring legislative changes.
