DGFT: Automated issuance of Free Sale and Commerce Certificates has been introduced, enabling faster, paperless processing, while applications requiring verification may continue under manual processing. (Trade Notice No. 24/2026-2027 Dated: 31.08.2026)
Head-wise ITC Mismatch Does Not Amount to Excess ITC Where Total Credit Remains Within Eligible Limit { Lucknow Test House v. Shashi Bhushan Singh [2026] 189 taxmann.com 977 (GSTAT – Lucknow)} Facts: The assessee had availed ITC, but there was a head-wise mismatch in the allocation of ITC under IGST, CGST and SGST. The department …
CUSTOMS CBIC has clarified that when raw sugar imported under Advance Authorisation(AA) is converted to Tariff Rate Quota (TRQ), the importer has to pay IGST through the Customs system. Interest will be waived, and the importer can claim eligible ITC as per GST rules. (Circular No. 37/2026-Custom | Dated: 27 .08.2026)
DGFT: DGFT has improved its Bank Guarantee (BG) Repository on the DGFT portal. Now, exporters will get automatic alerts before BG expiry, can track BG status online, and receive digital renewal/replacement notices. This will make BG management easier and reduce paperwork. (Trade Notice No. 23/2026-2027-DGFT | Dated: 28.08.2026)
DGFT SEBI has extended the implementation date for revised (Exchange Traded Funds) ETF trading norms from September 1 to September 7, 2026. The changes cover base price, price bands, pre-open call auction and close-out procedures. All other provisions remain unchanged. (Circular No. HO/47/11/11(1)2026-MRD-POD3/I/19839/2026 | Dated: 28.08.2026)
ITC Reversal under Rule 42 upheld; invocation of Section 74 set aside in absence of fraud or wilful suppression {Power Tech Global Pvt. Ltd. v. Commissioner of CGST & Central Excise} Facts: The taxpayer had availed ITC in respect of supplies involving MEIS Duty Credit Scrips. The Department alleged that ITC was required to be …
GSTAT Appeal Held Premature in Absence of First Appellate Order { Pankajam Plastics vs. Muthiah Athinarayanan [2026] 189 taxmann.com 833 (GSTAT – CHENNAI) Facts: Appellant had filed an appeal before the First Appellate Authority against the order passed by the adjudicating authority. However, as the department-initiated recovery proceedings, the appellant simultaneously filed an appeal before …
Customs: Customs has provided Nil Basic Customs Duty for import of 10 lakh MT of Raw Sugar (HS 1701) under the TRQ allocated by DGFT. The benefit is available only against valid electronic TRQ authorisation and will remain in force up to 31 October 2026. (Notification No. 30/2026-Customs | Dated: 21.08.2026)
Customs: Anti-dumping duty on Natural Mica-based Pearl Industrial Pigments (excluding cosmetic grade) imported from China has been extended. The duty, earlier valid up to 25 November 2026, will now continue until 25 February 2027. (Notification No. 21/2026-Customs (ADD) | Dated: 21.08.2026)
Custom CBIC has revised the customs tariff values for gold, silver, palm oil, soybean oil, brass scrap and areca nuts. Most values remain unchanged. The revised tariff values will be applicable from 26 August 2026. (Notification No. 71/2026-Custom (N.T.) | Dated:25.08.2026)
DGFT: DGFT has improved the Pre-Shipment Inspection Agency (PSIA)/ Pre-Shipment Inspection Certificate (PSIC) process on its portal. PSIC must now be issued on the inspection date itself. Digital signatures and stamps will be auto-added, and photo/video upload limits have been increased to make the process easier and more transparent. (Trade Notice No. 22/2026-27-DGFT | Dated: …
DGFT DGFT has introduced an automated facility for Export Obligation (EO) extension for Advance Authorisation and EPCG cases approved by the PRC/EPCG Committee. Once the Committee approves the extension, no separate EO-extension application is required; a er payment of the prescribed fee, the extension le er is generated automatically. (Trade Notice No. 21/2026-27-DGFT| Dated: 21.08.2026)
DGFT: DGFT has updated the Diamond Imprest Authorisation rules. The exemption from Compensation Cess has been removed from Para 4.63 because it was discontinued from 1 February 2026. Other duty exemptions, including Integrated Tax exemption, continue as before. (Notification No. 32/2026-27-DGFT | Dated: 21.08.2026)
DGFT: DGFT has made it easier to get One Star Export House status. Exporters, except those in Gems & Jewellery, now need to show export performance in any 2 out of the last 3 financial years instead of all 3 years. The change is effective immediately. (Notification No. 33/2026-27 | Dated: 21.08.2026)
DGFT DGFT has changed the export policy for wheat flour and related products (HS Code 11010000) from “Prohibited” to “Free” with immediate effect from 24 August 2026. This means these products can now be exported without the earlier prohibition. (Notification No. 34/2026-27-DGFT | Dated: 24.08.2026)
M. Motors & Anr. v. The Senior Joint Commissioner of Revenue, Berhampore Circle, WBGST & Ors. { 2026 (7) TMI 984} Facts: The adjudicating authority digitally signed the GST demand order within the limitation period prescribed under Section 73 of the CGST Act. However, the order was communicated/served on the taxpayer after the expiry …
Statutory canteen meal recoveries from workers not taxable as supply as activity mandated under Factories Act: AAR { Plantlipids (P.) Ltd., In re [2026] 189 taxmann.com 540 (AAR – KERALA} Facts Plantlipids Pvt. Ltd., a manufacturer with more than 590 workers, was statutorily required under Section 46 of the Factories Act, 1948 to maintain a …
Excise: The Government has reduced Road and Infrastructure Cess (RIC) on diesel exports from ₹1.5 per litre to Nil, effective 15 August 2026. This means no RIC will be charged on high-speed diesel exported outside India from the effective date. (Notification No. 45/2026-Central Excise | Dated: 14 .08.2026)
Excise: The Government has revised Special Additional Excise Duty (SAED) on ATF exports to ₹19.5 per litre from 15 August 2026. Earlier, the rate was ₹22 per litre. The revised rate will apply to Aviation Turbine Fuel (ATF) exported outside India from 15 August 2026. (Notification No. 44/2026-Central Excise | Dated: 14 .08.2026)
EXCISE The Government has removed Special Additional Excise Duty (SAED) on petrol exports from 15 August 2026. The SAED rate on petrol, which was earlier ₹3.5 per litre, is now Nil. The change applies only to petrol exports; diesel rates remain unchanged. (Notification No. 43/2026-Central Excise| Dated: 14 .08.2026)
