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Starting 1 January 2026, new GST rules and several important Goods and Services Tax (GST) compliances came into effect in India. These GST updates matter if you’re running a business, filing returns, or planning tax compliance for the new fiscal year. Some of these new GST rate changes tighten compliance. Others closed old loopholes businesses quietly relied on. Together, the latest GST rules changed how returns are filed, how ITC is claimed, and how closely the GST portal now tracks errors.

The beginning of 1st January 2026 marks a critical compliance shift under GST laws in India. Several deadlines lapse on 31st December 2025, and multiple system-driven restrictions and consequences become applicable thereafter. Missing these changes can result in late fees, interest, loss of ITC, suspension of GST registration, and higher tax outgo. This article explains all important changes effective from 1st January 2026, including some commonly ignored but high-risk compliance points. 1. GSTR-9 / GSTR-9C Due Date Over – Late Fee Becomes Applicable The due date for filing GSTR-9 and GSTR-9C for FY 2024-25 is 31st December 2025. From 1st January 2026, these returns can still be filed but with late fees, which are turnover-based: GSTR-9 Late Fee Structure (FY 2022-23 onwards)

The Indian Micro-Fertilizers Manufacturers Association (IMMA) has formally solicited revisions from the central government in advance of the upcoming Union Budget. Among their key proposals are the extension of the 5% Goods and Services Tax (GST) to encompass all fertilizers regulated under the Fertiliser Control Order, the acceleration of GST credit refunds to enhance liquidity for manufacturers, and the establishment of a unified licensing framework to streamline regulatory compliance. These requests were articulated by IMMA’s president, Rahul Mirchandani. The group admired GST 2.0 as a major improvement, specifying the GST reduction from 12 per cent to 5 per cent on Schedule 1G items and their mixtures. However, manufacturers are facing issues with an inverted duty structure where they pay higher GST on raw materials than on finished products.

The E-Way Bill (EWB) system continues to be a critical compliance requirement in GST, especially for businesses involved in the movement of goods. Under Rule 138 of the CGST Rules, an EWB must be generated for goods exceeding the prescribed value threshold before they are moved. Even small errors in the EWB can result in the movement being treated as “without a valid E-Way Bill,” which then attracts heavy penalties under Sections 122, 129 and 130 of the CGST Act. To help businesses stay compliant, here are the seven most common E-way Bill mistakes highlighted along with the actual e-way bill penalties that apply under GST law.