57th GST Council proposes automation of refund processing and expanded input tax credit eligibility to improve business liquidity.
57th GST Council: Refund Automation and ITC Expansions
The 57th GST Council meeting finalised key proposals to automate GST refund processing and broaden input tax credit (ITC) eligibility across sectors.
Measures include end-to-end digitisation of refund workflows, reduction in processing timelines, and inclusion of previously excluded goods and services under ITC purview. The Council also discussed risk-based validation to prevent fraud while accelerating legitimate claims.
These reforms aim to ease working capital stress for businesses. Practitioners should prepare clients for faster refund cycles and revisit ITC claims in light of expanded coverage, while ensuring compliance with new validation protocols.
