What is the new rule of ISD?

The new rule for Input Service Distributor (ISD) under India's GST, effective April 1, 2025, makes ISD registration mandatory for businesses with multiple GSTINs under one Permanent Account Number (PAN) that receive common input services (like IT, audit, or legal services) for use across branches. This replaces the previous optional system, requiring central registration as an ISD and formal, monthly distribution of Input Tax Credit (ITC) via GSTR-6 returns, ensuring fair allocation to branches based on turnover, or else risking penalties, reversals, and audits.

What are the changes in ISD from April 2025?

implemented from April 01, 2025

ISD registration becomes mandatory with the following key aspects: (i) ITC available for distribution to be distributed in the same month. (ii) ITC distributed should not exceed the ITC available for distribution. (iii) Both eligible and ineligible ITC needs to be distributed separately.

What are the changes from 1st July 2025?

What are the new GST rules from July 2025? From 1st July 2025, GSTR-3B cannot be edited after filing. GSTR-1A is introduced for corrections, and GST returns older than 3 years from the due date cannot be filed.

What is the new amendment of ISD?

What is the New Update on ISD under GST? The latest update under GST mandates that, from “1st April 2025”, all businesses with multiple GSTINs under the same PAN must register as an Input Service Distributor (ISD). Until now, ISD registration has been optional, but with this amendment, it has become compulsory.

What is the new rule of GST in July 2025?

Barring of GST Return on expiry of three years

The GST network issued another advisory on 7th June 2025, implementing the rule of time-barring of GST return filing beyond three years from the due date. By this update, taxpayers will not be able to file GST returns after three years from the due date of such return.

ILR Changes 2026: UK Immigration Experts Explain the New ILR Rules & Earned Settlement

Who qualifies for GST 2025?

Eligibility Criteria for the GST/HST Credit Payment 2025

You may qualify for the GST/HST credit payment 2025 if you meet the following conditions: You must be a resident of Canada for income tax purposes. You must be at least 19 years of age before the payment month, or meet other qualifying conditions if younger.

Is GST rate changed in September 2025?

India's GST regime is undergoing a landmark transformation with the 56th GST Council meeting unveiling GST 2.0 - next-generation reforms simplifying tax slabs to 5%, 18%, and 40%. Effective from September 22, 2025, these reforms aim to ease compliance, boost consumption, and fuel economic growth.

Is ISD mandatory in GST?

Previously, ISD registration was optional, but with the new mandate under GST, businesses meeting the criteria must comply to avoid potential disallowances or penalties. This change is enforced under Notification No. 16/2024-Central Tax, dated August 6, 2024, which makes ISD provisions mandatory from April 1, 2025.

What are the changes from 1st October 2025 in GST?

The October 2025 GST amendments introduce two key compliance tightening measures — a new penalty for Track & Trace violations and revised pre-deposit rules for appeals.

Who is eligible for the GST tax credit?

GST/HST credit eligibility requirements

To qualify for the GST/HST credit, your adjusted net family income must be below a certain threshold, which for the 2024 tax year ranges from $56,181 to $74,201, depending on your marital status and how many children you have.

What will happen on 6 July 2025?

Ashadhi Ekadashi, also known as Devshayani Ekadashi, will be observed on Sunday, July 6, 2025. The day marks the start of Lord Vishnu's four-month celestial rest. Ashadhi Ekadashi is widely celebrated across India.

What changes are coming in April 2025?

From 6 April 2025, Employers' National Insurance Contributions (NIC) will increase from 13.8% to 15%, while the threshold - the point at which employers begin to pay NI on an individual's salary - will be reduced from £9,100 to £5,000.

What is the new TDS rule for July 2025?

Starting July 2025, companies will switch from monthly to quarterly TDS returns under the new Income Tax Ordinance 2025. Instead of 12 filings a year, only 4 quarterly submissions will be required. Quarterly TDS deadlines: 25th Oct: July-Sept.

What is the reverse charge of ISD?

An ISD cannot accept any invoices on which tax is to be discharged under reverse charge mechanism. This is because the ISD mechanism is only to facilitate distribution of credit of taxes paid. The ISD itself cannot discharge any tax liability (as person liable to pay tax) and remit tax to government account.

What are the benefits of using ISD?

By systematically applying ISD principles, organizations can develop training programs that enhance learning, improve performance, and achieve strategic business outcomes.

Is GST going to be 10%?

New GST Rate of 9% in 2024

Come 1 Jan 2024, the GST rate will be raised from 8% to 9%, as part of the two-step GST rate change announced by the Minister for Finance in Budget 2022. The first step from 7% to 8% had taken place earlier on 1 Jan 2023.

Are we getting an extra GST payment in 2025?

You will get your annual GST/HST credit, which was calculated using information from your 2024 tax return, in four payments. The CRA will make these payments on the 5th day of July and October 2025, and of January and April 2026.

What are the tax changes for 2025?

Major US tax changes for 2025, driven by the "One Big Beautiful Bill Act (OBBBA)", include a higher standard deduction, new deductions for seniors, tips, overtime, and car loan interest, expanded Child Tax Credit, and permanent extension of some Tax Cuts and Jobs Act (TCJA) provisions, alongside inflation adjustments for tax brackets, creating potential tax cuts and increased take-home pay for many, though some energy credits are repealed. 

Is GST date extended for July 2025?

The update was notified by the CBIC vide CGST notification no. 17/2025 dated 18th October 2025. Due to the incessant rains in various parts of Maharashta, the government has extended GSTR-3B due date for July 2025 from 20th August to 27th August 2025.

What is the ISD amendment in Budget 2025?

From 1st April, 2025, it is mandatory to get register under GST as ISD and start complying with ITC distribution and GSTR-6 filing if your entity receives common input service invoices for multiple GSTINs. Before the notification no. 16/2024-Central Tax, the ISD mechanism was not mandatory.

Is GST still 9% in 2025?

For any standard-rated supplies of goods or services that you make on or after 1 Jan 2024, you must charge GST at 9%. For instance, if you issue an invoice and receive payments for your supply on or after 1 Jan 2024, you must account for GST at 9%.

What is isd in GST with example?

An Input Service Distributor (ISD) is a taxpayer that receives invoices for services used by its branches. It distributes the tax paid, known as the Input Tax Credit (ITC), to such branches on a proportional basis by issuing ISD invoices. The branches can have different GSTINs but must have the same PAN as that of ISD.

What is the new GST rule?

The New GST Rate Structure

The 12% and 28% slabs were eliminated and replaced with a new structure, which is now primarily 0%, 5%, 18%, and a 40% rate for luxury and “sin” goods. This change has impacted the pricing of many goods, including: Reduced to 18%: Items like electronic appliances and small cars.

What is the GST circular for September 2025?

What was the decision in 56th GST council meeting? The long-discussed proposal for a two-tier GST structure has now been approved (and implemented starting from 22nd September 2025): 5% GST: Applicable to most essential and everyday goods and services. 18% GST: For higher-value products and services.

Who promised to get rid of GST?

During the election campaign, Chrétien promised to repeal the GST, which the Liberals had denounced while they were the Official Opposition, and replace it with a different tax.