New Delhi

SimplifiedGST registration for small sellers on e-commerce platforms, faster refunds, unified registration documentation and a minimum threshold for issuing tax notices are among the Goods and Services Tax process reforms likely to take effect from November 1.

The 57th GST Council meeting held on October 8 approved several reforms covering registration, returns, refunds and adjudication. Changes that can be implemented administratively will be rolled out in phases from November 1, 2026, while those requiring amendments to the GST law will take effect from April 1, 2027.

Notifications and circulars relating to the process reforms have been approved by the legal department and are likely to be issued on Friday, an official said.

SIMPLIFIED E-COMMERCE REGISTRATION

Small sellers supplying goods through e-commerce platforms across multiple states and Union Territories, where they have no physical presence, can declare the platform's warehouse in that state as their Principal Place of Business, subject to prescribed conditions, including monthly input tax credit passed on of up to Rs 2.5 lakh.

Sellers must have a genuine presence in one state, where physical verification and Aadhaar authentication will be completed. Registrations in other states can be obtained with the e-commerce platform's consent, without further tax officer involvement.

The move could benefit around 9.5 lakh small sellers by enabling access to national markets without establishing physical offices in every state.

STREAMLINED REGISTRATION

A comprehensive circular will specify documents and information required for GST registration. The GST REG-01 form will include prescribed document options, while the portal will offer clearer navigation, drop-down lists and tooltips to reduce errors, queries and rejections.

FASTER REFUNDS

Excess balances in electronic cash ledgers will be refunded automatically without officer intervention. The deadline for issuing acknowledgements or deficiency memos will be reduced from 15 days to 10 days.

For zero-rated supplies and inverted duty structure claims, 90 per cent of the refund amount will be provisionally sanctioned automatically, subject to system-based risk assessment.

DISPUTE RESOLUTION

A minimum threshold of Rs 10,000 will be prescribed for issuing show-cause notices to reduce compliance burdens and litigation.

Effective date: November 1, 2026, for administrative changes. Law amendments: Reforms requiring legislative changes from April 1, 2027. Beneficiaries: Around 9.5 lakh small e-commerce sellers. Refunds: 90% provisional refunds for eligible zero-rated and inverted-duty claims.