GST Council to discuss decriminalisation at Council meet on December 17

The Goods and Services Tax (GST) Council may discuss the decriminalisation of the GST Law in its upcoming meeting on December 17. This will include raising the threshold limits for multiple offences, said a report in the Economic Times (ET). 

The council may also discuss online gaming and the rules around it, the report added.

Under decriminalisation, the government removes penal offences from the GST Act. The law committee has reportedly finalised changes in Section 132 of the act and the changes will be discussed in the council meeting.

Section 132 of the CGST Act deals with punishment for offences like falsification of documents for obtaining refunds, abetting of commission of offences, dealing in confiscated goods and obstructing officers from discharging their duties. All the charges are non-bailable. 

Meghalaya's Chief Minister Conrad Sangma will submit a report on online gaming.

The government had in September said that GST officers can launch prosecution against GST offenders in cases where the amount of evasion or misuse of the input tax credit is more than Rs 5 crore.

Launching of prosecution by taxmen means the commencement of legal proceedings against the offender.

One of the proposals before the Council is to raise the threshold limit for launching criminal proceedings under GST for offences over Rs 20 crore. Also, the property of offenders below the set threshold will not be attached, officials said. 

Once the proposal for GST law decriminalisation is approved by the GST Council, amendments to the central GST Act are expected to be introduced in the winter session of Parliament beginning December 7.

Once approved by Parliament, states would be required to amend their GST laws.

(With agency inputs)