Economy, Banking and Finance · 15 October 2026
GST Council's Law Committee recommends raising prosecution threshold to ₹10 crore and reducing jail terms
Exam-focused facts from the 15 October 2026 current affairs briefing.
Key facts
- The GST Council's Law Committee has proposed raising the monetary threshold for prosecution under GST law to ₹10 crore from the existing ₹5 crore, which was last revised in 2017.
- The Committee proposed reducing the maximum imprisonment for tax evasion in the ₹5 crore-₹10 crore range to two years from the current three years.
- The proposals include giving courts greater discretion to award imprisonment, a fine, or both, based on the nature and severity of the offence.
- The proposals will be placed before the GST Council at its October 7 meeting.
- The Law Committee could not reach a consensus on whether the power to arrest under the GST law should be retained, leaving the final decision to the GST Council.