GST Council's 57th meeting: arrest powers to be removed, prosecution only above ₹5 crore, rates unchanged

The GST Council held its 57th meeting on Thursday, 8 October 2026, at Bharat Mandapam in New Delhi. Union Finance Minister Nirmala Sitharaman chaired it, with Chief Ministers and Finance Ministers of the states and union territories. This note is NP NOW. The stamp is developing. It was last checked at 5:47 pm IST and posted at 6:21 pm IST.

After the meeting she announced the Council's recommendations at a press conference. The Ministry of Finance said the briefing was live. The Press Information Bureau carried a live video of it. A written PIB release of the decisions was not out at 5:47 pm IST. Start dates have not been announced. What follows is attributed to that press conference, and to posts by the Central Board of Indirect Taxes and Customs.

On enforcement, the Finance Minister said the Council recommended removing arrest powers under GST. The threshold for prosecution rises from ₹1 crore to ₹5 crore, so there would be no prosecution below ₹5 crore. ANI, IANS and PTI carried those lines from the briefing. The general penalty is to be cut from ₹25,000 to ₹10,000. No demand notice will be issued for tax below ₹10,000, and pending notices below that amount are to be withdrawn. The Council also recommended common standards for notices and proceedings. CBIC posted the notice threshold and the general penalty.

On refunds, acknowledgement comes down from 15 days to 10, with deemed acknowledgement if no response is issued. On a risk assessment, the system is expected to sanction 90 percent of claims within three working days of acknowledgement. Refunds of excess balances in the cash ledger will become automatic, she said. CBIC posted the refund changes. PTI reported the shorter acknowledgement period and the insurance credit.

Routine changes to a registration, including an additional place of business, will be accepted automatically. CBIC said small sellers on e-commerce platforms who pass on input tax credit of under ₹2.5 lakh a month will get a simpler PAN-based registration in states other than their home state.

Goods in transit may be inspected, detained or seized only by officers of the supplier's state or the destination state. They may be intercepted only on specific intelligence, and only with the approval of an officer of at least joint commissioner rank. ANI and IANS carried that part of the briefing.

Employers will be able to claim input tax credit on GST paid for an employee's insurance cover. The Finance Minister said this, and PTI reported it.

On rates she said: "No rate changes have been made. The rate structure is settled." Rate matters will be taken up once a year, at one meeting set aside for them. PTI reported those sentences.

Reports citing sources, including ET Now and Zee Business, said the Council could cut GST on delivery services and set a 5 percent rate on retreaded tractor tyres. They also referred to further input-tax-credit items. None of that is officially confirmed. This note does not treat those reports as decisions.

Until a written PIB release is out, and until start dates are announced, the stamp stays developing. The cover is an NP graphic of status tiles. No photograph of a person is used.