The Institute of Chartered Accountants of India (ICAI), through its GST & Indirect Taxes Committee, has released a comprehensive report addressing practical difficulties faced by taxpayers under GST.
Marking eight years of GST implementation, the committee compiled nationwide inputs from chartered accountants and taxpayers to highlight pain points in compliance and propose solutions.
Key Recommendations:
- Adjudication & Enforcement – Minimum 7 working days for Form DRC-01A replies, strict adherence to virtual hearing guidelines, improved notice delivery with dual service (digital + physical), and a unified “Case Tracker” for proceedings.
- Input Tax Credit (ITC) – Use of current month’s turnover for ISD credit distribution, restoration of rate column & quarterly summary in GSTR-2B, and automatic restoration of reversed ITC when GST cancellation is withdrawn.
- Registration – Preview and correction window in GST REG-01, better jurisdiction selection, facility for multiple amendment applications, speaking orders in cancellation cases, and migration of pending proceedings in mergers/demergers.
- Refunds – Faceless, system-driven, time-bound refunds with AI-based scrutiny, refund mechanism for rejected casual/non-resident registrations, and clarity on ITC refunds for SEZ units via ISD.
- Returns – Default return dashboard to show the previous month, advance generation of EVC, and CMP-08 format changes to separately declare taxable and exempt supplies.
- E-Way Bill – Addition of an “Ultimate Recipient” field to handle “Bill-to–Ship-to” transactions.
ICAI’s Stand
“These recommendations aim to simplify compliance, ensure fairness, and strengthen GST governance for taxpayers across India,” ICAI said.
The Suggestions can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2025/08/Suggestions-on-Practical-Issues-in-GST.pdf
