Banks Propose Rs 1 Crore GST Slab to Ease Compliance and Boost Digital Payments

Banks have proposed the introduction of a ₹1 crore GST turnover threshold to simplify compliance for small businesses and incentivize digital transactions. The article explains how the higher threshold could reduce administrative burden, lower compliance costs, and promote formalization of the economy. It discusses the potential revenue trade-off for the government and possible positive impacts on the banking sector’s digital payment ecosystem. Stakeholder reactions, including from trade bodies and policymakers, are also covered.