CA K Sanjay BhargavChartered Accountant
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The 57th GST Council meets on 7 October. Here is what is actually on the table

CA K Sanjay Bhargav, Chartered Accountant, Bengaluru

Membership No. 250054 · DISA (ICAI)

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Short answer: the 57th GST Council meets on 7 October 2026, moved from 12 September because of the BRICS summit. Rates are done; GST 2.0 finished that work a year ago. This meeting is about plumbing: registration for larger businesses, the blocked-credit list in Section 17(5), refund speed including inverted duty, automated cancellation of registrations, and whether credit can move with a business across states. Only the registration item is named officially. Everything else is reported. Nothing changes on the day; the law moves when the notifications follow.

The dates, and why they moved

OriginalRevised
Officers' meeting10 and 11 September5 and 6 October 2026
57th GST Council12 September7 October 2026, New Delhi

The reason given is India's hosting of the BRICS Leaders' Summit in Delhi on 12 and 13 September. It is the first full sitting since the 56th meeting of 3 and 4 September 2025, which delivered GST 2.0: the four slabs of 5, 12, 18 and 28% collapsed into 5% and 18%, with a 40% rate for a short list of luxury and sin goods, effective 22 September 2025. A year on, the Council turns to how the tax is administered rather than what it charges.

Confirmed: registration for businesses above the ₹2.5 lakh line

This is the one item named with any specificity.

The 56th Council created a simplified registration route: automated approval within three working days for applicants the system assesses as low-risk, defined as those whose monthly output tax on B2B supplies is up to ₹2.5 lakh. It went live on 1 November 2025.

That left everyone above the line in the ordinary process, which for a business passing on more than ₹2.5 lakh of credit a month means full verification, the biometric visit where flagged, and, since the Delhi High Court's interim order of 8 September 2026, biometric Aadhaar authentication in every case. The item now reported is a faster route for those larger businesses, on the reasoning that a company generating that much B2B output tax is the applicant least likely to be a shell.

What it would mean: a genuine trading or manufacturing business that has been waiting three weeks for a GSTIN, and losing credit on the stock it holds meanwhile, gets a registration in days. The 30-day rule on opening-stock credit, and why the wait costs money, is in GST registration: the process, and the 30-day trap.

Reported, not confirmed

Everything below has been reported in the trade press and pressed by industry bodies. None of it is on a published agenda, and the Council can take up, defer or decline any of it.

Blocked credit under Section 17(5). The list of inputs on which credit is denied regardless of business use. The pressure point is clause (c) and (d), construction and works contract, after the Supreme Court in Safari Retreats read "plant or machinery" to allow credit on a building constructed to let, and Parliament then amended the section retrospectively to "plant and machinery" to shut that door. Industry has asked for the restriction to be revisited for commercial real estate. The current position, and why the Finance Act 2025 amendment matters more than the judgment, is in ITC on factory construction: where 17(5) blocks it.

Credit where the supplier has not paid. Section 16(2)(c) makes the recipient's credit conditional on the supplier having actually paid the tax, and High Courts have been enforcing it against buyers who did everything right. The proposal from trade bodies is a safe harbour for a recipient holding a valid invoice, having received the supply, and having paid through banking channels, with the department recovering from the supplier instead. This would be a change to the Act, not a notification. The conditions as they stand are in why GSTR-2B decides what you can claim.

Refunds, including inverted duty. Faster processing and fewer manual holds, particularly for exporters and for businesses whose inputs carry a higher rate than their outputs. GST 2.0 removed a good deal of inversion by collapsing the 12% slab, but not all of it, and the refund route for what remains is in inverted duty structure refund.

Automated suspension and cancellation. The system already suspends a registration for non-filing. The reported item is extending automation to cancellation and to the reverse process, restoration, which currently sits with an officer.

Transfer of credit across states. A business with balances in several state registrations cannot move credit from one GSTIN to another. The reported proposal is a mechanism to do so, at least within the same PAN. For a multi-state company this is the single most valuable item on the list, and also the one that most directly touches state revenue, which is why it has been raised before and not resolved.

Corporate guarantees and employee benefits. Valuation of guarantees between related entities, where Rule 28(2) fixed 1% of the guaranteed amount and the litigation has continued, and the treatment of benefits provided to employees and recovered from them. Both are clarification items rather than policy changes.

Post-GST 2.0 revenue review. The states' first full-year picture of what the rate cut cost. This does not produce a notification, but it shapes how far the Council is willing to go on everything above.

Regularisation of past practice under Section 11A. Advisers have pressed for the Council to use its power to regularise tax positions that followed a generally prevalent practice, so that interpretational disputes are not pursued retrospectively. Whether it reaches the agenda is unknown.

What happens after 7 October

The Council recommends. The CBIC notifies. Where the Act has to change, Parliament amends. The sequence after the 56th meeting is the template: the rate notifications came within three weeks; the simplified registration route took two months; the Act amendments came with the next Finance Bill.

So on 8 October:

  • A recommendation is not law. A press release saying the Council "recommended" a change to Section 17(5) changes nothing about the credit you can take that month.
  • Notifications have effective dates. Read them. A change notified on 20 October with effect from 1 November governs November's return, not October's.
  • Refund and registration changes are usually portal changes. They arrive when GSTN deploys them, which can lag the notification by weeks.
  • Nothing on the agenda is retrospective in your favour. A credit position that is wrong today does not become right because the Council may fix it. Reversals, notices and limitation continue to run on the current law.

Where a decision on the day affects a position you are holding, the question to ask is which layer has changed: the recommendation, the notification, the Act, or the portal. Until the layer that governs your return has moved, your return is prepared on the old law.

This note will be updated on 7 October with what the Council actually recommended, and again when the notifications issue.


Everything above the "Confirmed" heading is drawn from the Council's own scheduling communication; everything below it is reported and unconfirmed as at the date above. Nothing here is a decision. Treat every item as a proposal until the Council's recommendations are published and the CBIC follows with notifications.

Frequently asked questions

When is the 57th GST Council meeting?

7 October 2026 in New Delhi, chaired by the Union Finance Minister, with the officers' meeting on 5 and 6 October. It was originally notified for 12 September and was moved because India hosted the BRICS Leaders' Summit in Delhi on 12 and 13 September. It is the first full sitting since the 56th meeting of 3 and 4 September 2025, which delivered GST 2.0.

Are rate changes expected?

No. GST 2.0 collapsed the four slabs into 5% and 18%, with 40% for a short list of luxury and sin goods, from 22 September 2025. Nothing in the reporting on the 57th meeting suggests further rate work. The agenda is procedural: registration, credit, refunds and compliance.

What is the registration item?

The 56th Council introduced a simplified registration route with automated approval in three working days for low-risk applicants whose monthly output tax on B2B supplies is up to ₹2.5 lakh, live from 1 November 2025. The item now reported is a faster route for businesses above that line, which pass on more than ₹2.5 lakh of credit a month and currently go through full verification. That is the only agenda item named with any specificity in official communication.

What is reported on input tax credit?

Two threads. The first is Section 17(5), the blocked-credit list, where industry has asked for the construction and works-contract restriction to be revisited after the Safari Retreats litigation and the retrospective amendment by the Finance Act 2025. The second is protection for a recipient who holds a valid invoice, has received the supply and paid through banking channels, where the supplier has not paid the tax. Both are proposals from trade bodies; neither has been confirmed as an agenda item by the Council.

Does anything change on 7 October itself?

No. The Council recommends; the law changes when the CBIC issues notifications, and where the CGST Act itself has to be amended, when Parliament passes the amendment. Recommendations from the 56th meeting took between two weeks and two months to become operative. Whatever is announced on 7 October, the position on 8 October is the position on 6 October until a notification says otherwise.

Waiting on a Council decision before you act?

Send the question the meeting affects for you — a registration stuck in verification, a blocked-credit position, a refund pending, or a multi-state credit balance. What the Council can and cannot change, and what to do in the meantime, are worked out from the current law rather than from the agenda.

Related service: GST Registration & Returns