Srinagar, Oct 8: The Confederation of All India Traders (CAIT), Kashmir Chapter, has welcomed the key proposals emerging from the 57th GST Council meeting, saying the measures could simplify compliance, reduce procedural hurdles and improve ease of doing business for traders and small enterprises.
CAIT Kashmir Chapter President Farhan Kitab said the proposed measures address several long-standing concerns of the trading community, particularly those relating to penalties, refunds, registration and inspections.
According to CAIT Kashmir, the proposals include removal of GST arrest powers, raising the prosecution threshold from Rs 1 crore to Rs 5 crore and reducing the general penalty from Rs 25,000 to Rs 10,000. It said around 65 per cent of routine registration amendments are also proposed to be approved automatically.
On refunds, the traders’ body said 90 per cent of eligible refunds are proposed to be processed automatically within three working days, while the acknowledgement period is proposed to be reduced from 15 days to 10 days. Refunds under the inverted duty structure are also proposed to cover input services from November 1, 2026.
The proposals, according to CAIT Kashmir, also envisage relief for small businesses with turnover of up to Rs 5 crore that supply exclusively to consumers by providing an optional annual return facility with quarterly tax payments. Small sellers are also expected to get easier access to inter-state e-commerce platforms.
The chapter said the proposals would allow GST credit on employee health and life insurance, telecom towers and pipelines located outside factories. It added that goods vehicles are proposed to be stopped for inspection only on the basis of specific intelligence and prior authorisation.
On exports, CAIT Kashmir said benefits are proposed to be extended to specified overseas services and work carried out on foreign-owned goods. It said no GST rate changes have been proposed at present, while annual reviews of rates are envisaged.
“These key takeaways are encouraging for the trading community. Faster refunds, simpler compliance and reduced procedural hardships will support traders’ working capital and business confidence,” Kitab said.
“We urge the timely implementation of these measures so that the intended relief reaches traders and small businesses on the ground,” he added.
CAIT Kashmir reiterated its commitment to raising issues concerning traders and working with the government towards a simpler, fairer and more predictable GST regime with lower compliance costs and greater ease of doing business.
