GST Council Proposes Insertion of Provision for Track and Trace Mechanism under CGST

The GST Council has proposed the insertion of a provision for a "track and trace" mechanism under the CGST Act. This provision aims to enhance the traceability of goods and services, ensuring that they are not diverted for illegal purposes or tax evasion. The track and trace system will help authorities monitor the movement of goods across the supply chain and prevent fraud. The proposed provision is part of the council’s efforts to bolster GST enforcement and improve transparency in the system. The measure is expected to strengthen the tax system by making it more robust and less prone to manipulation.