FM Sitharaman ‘confident’ of ‘transparency’ after CBIC debunks claims of delay, corruption in GST registration process

The Central Board of Indirect Taxes and Customs (CBIC) on Saturday debunked a claim circulating on social media about delays and corruption in granting GST registration, saying the applicant has yet to furnish details sought by Delhi state GST officers.

Finance Minister Nirmala Sitharaman also took to X and quoted the CBIC post. "A detailed response from CBIC. To provide service to the taxpayer is our duty. While so serving the taxpayers, transparency and integrity are crucial in earning their trust and confidence. Confident that the Board and the field formations will remain sensitive and responsive," the minister said.

GST registration delay claims on social media

One individual took to LinkedIn to talk about how he has not been granted GST registration even after applying 20 days back. The post was shared on X by another user accusing that there is "corruption" in granting Goods and Services Tax (GST) registration.

Replying on X, the Central Board of Indirect Taxes and Customs (CBIC) gave facts of the case and said the application was filed this week on May 26, 2025, which was assigned to Delhi State GST.

The Central GST authorities had no role in this matter, the CBIC said. It further said that as per Delhi State GST authorities, the case was processed immediately and a query was raised about the missing designation of the person who has signed the rent agreement on behalf of the company.

"At this stage, the ARN was pending for reply from the taxpayer side and it was duly informed to the taxpayer. The application will be processed by the Delhi GST authorities upon receipt of the pending information," the CBIC said. The indirect tax authority also asked people to refrain from circulating "wrong information on social media without knowing the facts".

Govt relaxes rules to boost GST registration among small businesses

The number of micro, small, and medium enterprises (MSMEs) with Goods and Services Tax (GST) registration is set to rise after the Central Board of Indirect Taxes and Customs (CBIC) asked its officials to relax scrutiny for such businesses, according to two people aware of the development. MSMEs contribute around 30% of India’s GDP.

CBIC's move comes after MSMEs raised concerns about excess and non-uniform scrutiny in the registration process during stakeholder consultations with the MSME ministry and CBIC, the people said. After the meeting, CBIC asked its registration officials to reduce physical verification and complete the process in seven days if the business is not found to be risky during the common analysis.