Major GST Changes from April 2025: Biometric Verification, e-Invoicing New Rules & Many More

From April 2025 onwards, many key updates have been introduced under the GST system. These changes are made to ease the registration process for taxpayers and improving data accuracy.

The introduction of biometric based Aadhar authentication for new GST registration is one of the major updates. In Assam, this system has already been implemented starting April 1, 2025. Those applicants who are selected through data analysis and risk checks must visit a GST Suvidha Kendra (GSK) for biometric and document verification. There are two types of links one is OTP based authentication and the other for booking biometric appointments. Applicants required to bring original Aadhar, PAN, jurisdiction details and application documents while going to visit GSK. An ARN will be issued only after successful verification.

The formats of GSTR-7 and GSTR-8 have been updated. Now GSTR-7, which is related to TDS will need invoice-wise details including GSTIN, invoice amount, and tax deducted. Also, GSTR-8 which is used by e-commerce operators for TCS has also changed to make the reporting accurate.

Clarification has been issued regarding UPI payments.

There is no GST on UPI transaction, even if the amount is more than Rs. 2,000. GST is only applicable to charges like the Merchant Discount Rate (MDR), which has been waived for P2M transactions since January 2020. The government continues to support digital payments through the UPI Incentive Scheme with support increase from Rs. 1,389 crore in FY 2021-22 to Rs. 3,631 crore in FY 2023-24.

The invoice numbers on the Invoice Reporting Portal (IRP) will be treated as case-insensitive for IRN generation, from June 1, 2025. In this, all letters will be automatically converted to uppercase so that there is no duplication and it matches GSTR-1 entries.

Also, from April 2025, GSTR-3B Table 3.2 that deals with inter-state supplies to unregistered recipients, will be auto-populated. These values are non-editable, and correction must be done in GSTR-1 or GSTR-1A.

Invoice must be reported within 30 days of invoice date for the businesses having annual turnover above Rs. 10 crore. Also, e-way bills will only be allowed for documents up to 180 days old and extensions are limited to 360 days from January 1, 2025.

In the end, CBIC has issued guidelines to make the GST registration process simple. Officers are instructed to follow the standard list of required documents and do not ask for unnecessary paperwork. Any additional request must be approved by the senior officers.

These steps are taken to reduce the burdens and make GST process efficient and transparent for taxpayers.