GST Law Committee proposes higher prosecution threshold, shorter jail terms

A committee reviewing GST legislation has proposed increasing the threshold for criminal prosecution and reducing jail terms for violations, according to sources familiar with the matter.

The proposals aim to make the law less stringent for minor offences. The committee is also examining whether authorities should retain the power to arrest without a warrant in GST-related cases, with the matter set for Council consideration.

The recommendations reflect ongoing efforts to balance enforcement with business compliance concerns under the Goods and Services Tax framework.