GST

Eternal, the renowned Indian film production and distribution entity, is facing a Goods and Services Tax (GST) demand of Rs. 27.56 crore, following a detailed assessment by tax authorities. The demand arises from discrepancies identified in prior filings and revenue reporting, highlighting the growing scrutiny of entertainment sector finances in India. Industry analysts note that such GST notices, while common, can affect cash flows and project financing for production houses.

Luxury carmaker BMW has urged the government to consider a uniform 5 percent Goods and Services Tax on electric vehicles in the upcoming Union Budget, arguing that tax rationalization is critical to accelerating EV adoption in India. The company believes a lower and consistent GST regime would help bridge the price gap between electric and internal combustion engine vehicles, stimulate consumer demand, and encourage long-term investment in clean mobility.

Eternal has received a goods and services tax demand order amounting to Rs. 3.7 crore from tax authorities, adding to regulatory scrutiny faced by corporates across sectors. The order relates to alleged tax discrepancies identified during assessment proceedings, though the company has indicated that it is evaluating the matter and considering appropriate legal remedies. While the financial exposure appears manageable relative to the company’s scale, the development highlights the growing intensity of GST enforcement.

Arunachal Pradesh has reported a robust 36 percent increase in Goods and Services Tax collections in FY26, reflecting improved compliance, expanding commercial activity, and stronger administrative enforcement. The sharp rise underscores the northeastern state’s gradual integration into the formal economy and highlights the effectiveness of tax reforms and digital monitoring systems. Officials attribute the growth to higher registrations, better return filings, and sectoral expansion in trade, construction, and services.

Sales of luxury electric vehicles (EVs) have witnessed a noticeable slowdown following recent changes in the Goods and Services Tax (GST) framework. The revised tax structure has altered on-road pricing for high-end electric models, dampening short-term demand in a segment that is already sensitive to price fluctuations. While the broader EV market continues to expand, premium buyers appear to be reassessing purchase decisions amid higher upfront costs.

VE Commercial Vehicles Ltd. has been served a Goods and Services Tax (GST) demand amounting to Rs. 192 crore by tax authorities, introducing a regulatory development for the commercial vehicle manufacturer. The demand pertains to a past assessment period and is currently under examination by the company. Management has indicated that it is evaluating the order and exploring remedies available under law, including the possibility of an appeal.

The appointment of Amit Kashyap to the Goods and Services Tax (GST) Appellate Tribunal marks a significant step in reinforcing India’s indirect tax dispute resolution framework. The tribunal plays a critical role in adjudicating appeals arising from GST-related assessments and enforcement actions, providing clarity and consistency in tax administration. Kashyap’s elevation is expected to enhance institutional capacity at a time when the volume and complexity of GST litigation continue to rise.

IndiGo, India’s largest airline by market share, has been levied a Rs. 13 lakh penalty by the Goods and Services Tax (GST) authorities following a routine compliance review. The penalty pertains to discrepancies in tax filings and reporting obligations, highlighting the importance of rigorous regulatory adherence in the aviation sector. Analysts note that while the financial impact is relatively minor for a large carrier, the case underscores the evolving scrutiny of GST compliance across industries.

India is preparing for one of its most consequential fiscal transformations in decades with the proposed overhaul of the Income Tax Act and significant refinements to the Goods and Services Tax (GST) regime in 2025. The reforms aim to simplify compliance, reduce litigation, broaden the tax base and align the system with a rapidly digitizing economy. Policymakers are signaling a shift from complex, legacy-era provisions toward a transparent, technology-driven framework.

Punjab has reported a remarkable 16% increase in Goods and Services Tax (GST) collections, according to Finance Minister Harpal Singh Cheema. The rise, attributed to strengthened compliance, digitalization of tax processes, and expanding business activity across sectors, underscores the state’s improving economic environment. Minister Cheema emphasized that higher collections will enhance fiscal capacity, enabling greater investment in infrastructure, social welfare, and public services.