Customs And GST Alert - August 2025

NEWS UPDATE

The Hon'ble Prime Minister, in his Independence Day speech, announced the Government's intention to introduce significant GST reforms focusing on three key pillars: (i) Structural reforms (correcting inverted duty structure, resolving classification issues, and ensuring stability and predictability in rates and policy); (ii) Rate rationalisation (reducing taxes on common-man items and aspirational goods, reducing slabs, and discontinuing compensation cess); and (iii) Ease of living (in the areas of registration, refunds and returns).

CASE LAW UPDATES

ARMOUR SECURITY (INDIA) LTD v. COMMISSIONER, CGST, DELHI EAST AND ANR

SLP (C) No 6092 of 2025

Supreme Court holds that (i) any action arising from the audit of accounts or detailed scrutiny of returns must be initiated by the tax administration (either Central or State GST department) to which the concerned assessee is assigned; (ii) intelligence based enforcement action could be initiated either