The GST compliance checklist for FY 2025-26 requires setting up new invoice series by April 1, 2025, and ensuring strict 30-day e-invoice reporting for businesses with >₹10 crore turnover. Key tasks include reconciling GSTR-2B with books, managing Reverse Charge Mechanism (RCM) liabilities, and mandatory Input Service Distributor (ISD) registration for multi-locational entities starting April 1, 2025.
From the fiscal year 2025-26, the E-Invoice system would be applicable for businesses having an aggregate turnover exceeding ₹10 crores. All GST portal users shall have to apply Multi-Factor Authentication (MFA). From February 11, 2025, the formats of GSTR-7 and GSTR-8 will be updated.
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.
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.
Year-End Compliance – 31 March 2025
Pay GST Challan if Input Tax Credit (ITC) is insufficient for February 2025 liabilities (for quarterly filers). Opt for the GST Composition Scheme (CMP-02) for FY 2025-26. File Letter of Undertaking (LUT) in Form RFD-11 to export goods/services without IGST payment for FY 2025-26.
The shift to a two-slab system of 5% and 18%, removing the earlier 12% and 28% rates, will make taxation more transparent and easier to follow. At the same time, a 40% on luxury and sin goods such as pan masala, tobacco, aerated drinks, high-end cars, yachts, and private aircraft ensures fairness and revenue balance.
Here's a summary of key changes for the 2025 tax year. The seven federal tax brackets (10%, 12%, 22%, 24%, 32%, 35%, 37%) are now permanent. Standard deductions increased, plus a new “bonus” deduction for older adults. Child tax credit increased to $2,200 per qualifying child.
Good news is, Starting July 2025, the HST/GST credit has increase by 2.7%, helping low- and modest-income households stretch their budgets. This tax free quarterly payment can put hundreds of extra dollars into your pocket each year.
These changes aim to reduce the tax burden, empower MSMEs, and boost economic growth. The government announced three pillars of focus for new-gen GST reforms on 15th August 2025- structural reforms, rate rationalisation and ease of doing business.
As of 2025, the GST rate in Singapore is 9% for all taxable goods and services (except for nil-rated). With the GST rate change, as laid out by the Inland Revenue Authority of Singapore (IRAS), it has become even more important to be at par with the recent amendments.
What factors affect GST rating?
The total of lifetime gifts and the estate are eligible for a lifetime exemption, which is set at $13.99 million in 2025. The exemption amount is indexed for inflation, and was scheduled to be reduced by half after 2025. The higher exemption level was made permanent and slightly increased to $15 million in 2026 by P.L.
Types of GST in India
CGST (Central Goods and Services Tax) SGST (State Goods and Services. IGST (Integrated Goods and Services Tax) UTGST (Union Territory Goods and Services Tax)
Generation-Skipping Transfer Tax Exemption: The GST exemption was also increased to $15 million per taxpayer for 2026, up from $13,990,000 in 2025. Annual Gift Tax Exclusion: The annual gift tax exclusion remains at $19,000 for 2026, the same amount applicable to 2025.
India's Goods and Services Tax (GST) system has entered a new era with the rollout of GST 2.0, effective from September 22, 2025. The Council has simplified the structure into a 5% slab for essentials, 18% for standard goods, and 40% for luxury/sin items, replacing the earlier complex categories.
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.
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.
Demonstrating a sustainable financial momentum, India's GST collection for September 2025 soars to ₹1.89 lakh Crore, depicting a 9.1% YoY rise.
The return for September 2025 may now be filed till October 25, 2025, and similarly, for taxpayers filing quarterly returns (July–September 2025 quarter), the due date is also extended to October 25, 2025.
Canada will implement a faster GST rebate payment system starting January 5, 2026. Eligible individuals and families can receive up to $680 more quickly, reducing previous delays. The new system streamlines income verification and tax processing to speed up payments. and modest-income Canadians.
The goods and services tax/harmonized sales tax (GST/HST) credit is a tax-free quarterly payment for individuals and families with low and modest incomes to help offset the GST or HST they pay. It may also include payments from provincial and territorial programs.
Here's what you need to know about the relevant threshold and how it affects your business or enterprise. The GST threshold for 2025 is $75,000 in annual GST turnover for most businesses. If your GST turnover exceeds this amount in any rolling 12-month period, you must register for GST within 21 days.
Some of the major tax changes effective from April 1, 2025, are revised tax slabs, rebate of up to Rs. 60,000, revised ITRU deadlines, calculation of partner's remuneration allowable as a deduction and revised TDS/TCS threshold limits.
For the 2025-2026 tax years (filed in 2026 and 2027), the U.S. tax landscape shifts significantly with the One Big Beautiful Bill (OBBB) Act, introducing new deductions like a temporary bonus for seniors, increased Child Tax Credits (CTC) to $2,200, higher SALT deduction caps, and expanded 529 plan usage, while retaining the standard seven federal tax brackets but with inflation adjustments and new income thresholds, making the default new tax regime more attractive for many with its enhanced benefits for families and seniors.
One Big Beautiful Bill Tax Law Changes for your 2026 (and on) tax returns