Simplified GST Registration Scheme To Roll Out From Nov 1, Says Finance Minister

Starting November 1, a simplified Goods and Services Tax (GST) registration process will be implemented for two categories of taxpayers, with approvals to be granted within three working days, Union Minister of Finance, Nirmala Sitharaman said during the inauguration of a new Central Goods and Services Tax (CGST) building in Ghaziabad, Uttar Pradesh.

The two categories include small, low-risk businesses and public sector entities.

Speaking at the event, the Finance Minister highlighted the Central Board of Indirect Taxes and Customs’ (CBIC) efforts in pushing forward next-generation GST reforms. “CBIC worked hard to deliver these reforms before Navratri,” she said, adding that the period between September 22 and Diwali saw a wave of market euphoria.

The Minister noted that CBIC’s field formations had performed commendably and that the upcoming reforms, ranging from classification clarity to process simplification and correction of inverted duty structures, would be remembered for the next 100 years.

Citing data from the Confederation of All India Traders (CAIT), she said Diwali sales this year touched Rs 6.05 lakh crore, marking a 25% increase over last year. Of this, Rs 5.4 lakh crore was spent on goods and Rs 65,000 crore on services, making it the biggest Diwali trade ever. Notably, 87% of the goods sold were Indian-made, and e-commerce recorded a 24% year-on-year growth. The Finance Minister credited GST rate cuts for this surge in consumption.

She emphasised that the GST registration process has been made easier and that technology should be leveraged to reduce the burden on taxpayers. “Taxpayers must not do the heavy lifting,” she said, stressing that the onus should not be shifted onto them.

Addressing service delivery, the Minister urged officials to address shortcomings in GST Seva Kendras and ensure minimal inconvenience to taxpayers. She called for CGST field formations to set up dedicated teams for grievance redressal and to map recurring issues systematically.

On disciplinary matters, she directed that proceedings against erring officials be completed without delay. “Galat kiya toh khair nahi, sahi kiya toh vair nahi,” she said, underlining the need for fair and swift investigations.

She also called for the use of technology to detect wrongful input tax credit (ITC) claims and fake invoices. Expressing disappointment with certain field formations, she said a few “black sheep” were tarnishing the CBIC’s image and urged officials to act with integrity and initiative. “Don’t wait for guidelines, solve problems with a thinking mind,” she added.

The Minister also noted that next-gen GST reforms should make taxpayers feel respected and not viewed with suspicion. She urged officials to shed the pre-GST mindset and work collectively towards the vision for 2047.