← 11 October 2026's Current Affairs · Polity GA Prelims ★★★★☆ Mains ★★★☆☆
GST Council recommends easing compliance and prosecution norms
ਖ਼ਬਰਾਂ ਵਿੱਚ ਕਿਉਂ?
Rs 1 crore to Rs 5 crore: the GST prosecution change and the Article 279A body behind it
The 57th GST Council meeting recommended measures to simplify GST compliance, reduce litigation and ease the burden on small businesses, with changes reported to take effect from 1 April 2027.
Why it matters: factual, Prelims-type
What you need to know
2 ਮਿੰਟ
The 57th GST Council meeting recommended measures to simplify GST compliance, reduce litigation and ease the burden on small businesses, with changes reported to take effect from 1 April 2027.
Reports say the package includes curbs on arrest powers under Section 69 of the CGST Act and a higher prosecution threshold of Rs 5 crore, up from Rs 1 crore.
The GST Council is the constitutional body under Article 279A that makes recommendations on tax rates, exemptions and procedures.
ਸਰੋਤ: Topper IAS editorial (PIB / The Hindu / Indian Express)
ਮੁੱਖ ਤੱਥ
Remember these
- The 57th GST Council meeting recommended easing compliance and prosecution norms; changes are reported to take effect from 1 April 2027.
- Reported prosecution threshold rises from Rs 1 crore to Rs 5 crore.
- Reported curbs on arrest powers under Section 69 of the CGST Act.
- The GST Council is constituted under Article 279A, inserted by the 101st Constitutional Amendment Act, 2016.
- Article 246A gives Parliament and State Legislatures concurrent power to legislate on GST.
ਪ੍ਰੀਲਿਮਜ਼ · ਮੇਨਜ਼
How the exam will ask it
ਪ੍ਰੀਲਿਮਜ਼
- The GST Council is a constitutional body under Article 279A that makes recommendations on GST rates, exemptions and procedures.
- Article 246A confers concurrent lawmaking power on Parliament and State Legislatures for GST, whereas Article 279A creates the Council.
- The Council's recommendations guide the Union and the States; the Council itself does not enact tax law.
- Section 69 of the CGST Act deals with the power to arrest in cases of specified GST offences.
ਮੇਨਜ਼
GS-III (Taxation) and GS-II (Federalism). Heavy prosecution and arrest powers raised litigation and compliance fears among small businesses; the Council's package raises the prosecution threshold and curbs arrests, which should reduce harassment and ease doing business. The way forward is to balance this with strong revenue-protection measures against real evasion, and to preserve cooperative federalism through consensus in the Council.
Quick recall
Answer before you reveal
Which constitutional provision, inserted by the 101st Amendment Act, provides for the constitution of the Goods and Services Tax Council?
- Article 246A
- Article 279A
- Article 280
- Article 263
ਜਵਾਬ ਵੇਖੋ
ਜਵਾਬ: B — Correct: Article 279A — Article 279A, also inserted by the 101st Amendment, creates the GST Council to recommend rates, exemptions and procedures; 246A only distributes lawmaking power. • Article 246A — wrong: Article 246A gives Parliament and State Legislatures concurrent power to make laws on GST; it does not create the Council. • Article 280 — wrong: Article 280 provides for the Finance Commission, which recommends devolution of taxes, not GST rates. • Article 263 — wrong: Article 263 provides for the Inter-State Council for Centre-State coordination, which is a different body.
Convert this topic into marks
Today's 10-MCQ test · instant analysis · Powered by AdaptIQ