DGFT has introduced TRACE under the Export Promotion Mission to partially reimburse MSMEs for testing, certification, and compliance costs. The scheme aims to strengthen India’s export quality ecosystem and facilitate global market access.
A new DGFT trade notice provides structured support for export factoring transactions undertaken by MSMEs. The scheme caps benefits at ₹50 lakh per year and applies only to eligible HS tariff lines and RBI/IFSCA-regulated entities.
The Madras High Court held that university affiliation, inspection, and related fees are not covered under GST exemption for services relating to admission or examination. The ruling clarifies that affiliation is a distinct taxable activity.
The Telangana High Court quashed rejection remarks under the 2024 scheme, holding that the order was too cryptic and lacked reasons. The matter was remanded for fresh consideration after personal hearing.
The Authority held that aquaculture cannot be equated with agriculture and rejected classification under HSN 8436. Paddle Wheel Aerators were classified under residual HSN 8479, attracting 18% GST.
The Gujarat AAR held that mobilisation advance adjusted against running account bills constitutes consideration under Section 2(31) of the CGST Act. As it is applied toward works contract services, GST becomes payable. The ruling clarifies that such advances cannot be treated as mere loans to avoid tax liability.
Gujarat AAR held that ice cream manufactured outside retail outlets and sold over the counter qualifies as supply of goods, not restaurant service. Classification depends on manner of supply.
The Gujarat AAR held that paan-based edible capsules containing supari but no lime, katha, or tobacco qualify as Betel nut product known as Supari under HSN 2106 90 30. All products were taxed at 5% GST under HSN 2106.
The High Court upheld Section 19(20) of the TN VAT Act, ruling that excess input tax credit must be reversed when goods are sold below invoice purchase price. It held ITC is a statutory concession and can be restricted to safeguard revenue.
The Budget focuses on simplification, predictability, and targeted incentives, introducing the Income Tax Act, 2025 and major compliance reforms.
