Chief Minister Rekha Gupta today introduced the Delhi Goods and Services Tax (Amendment) Bill 2025 in the Delhi Legislative Assembly, reaffirming the government’s commitment to simplifying tax administration, boosting compliance, and providing substantial relief to taxpayers and businesses across the national capital.
The Chief Minister stated that the amendments align the Delhi GST Act with reforms passed in the Central GST Act by the Union Government, ensuring nationwide consistency in tax regulation. “This is a step towards simplification, transparency, and justice for taxpayers. Our aim is to promote business confidence while maintaining effective revenue governance,” said CM Rekha Gupta while tabling the bill.
Key Reforms Through Two Legislative Packages
The amendments were introduced through two focused legislative packages. The first package, comprising 45 amendments approved in GST Council meetings held in July 2023, October 2023, and June 2024, focused on extending ITC timelines, simplifying registration and return filing, establishing the GST Appellate Tribunal, and launching an amnesty scheme for relief on interest and penalties. The second package, passed during the 55th GST Council Meeting in December 2024, included 14 amendments aimed at strengthening enforcement and procedural clarity—such as penalties for non-compliance in track-and-trace systems, clarified ISD credit distribution, treatment of municipal funds, and streamlined appeal processes.
Combined, these reforms extend ITC claim periods, lower the pre-deposit for appeals from 10% to 7%, improve dispute resolution, and introduce machine-tracking enforcement mechanisms particularly in sectors like gutkha manufacturing, where the Centre has mandated unique identifiers on each packet for accountability. “Earlier, companies could not be traced for how much gutkha was being produced or sold. Now, with machine tracking and unique identifiers, the government will ensure full transparency,” the CM explained in the House. The GST Amnesty Scheme alone has led to Rs 218 crores in collections for Delhi as of 31 March 2025 a clear sign of taxpayer responsiveness to the reforms.
CM Rebukes Former Finance Minister Atishi
During the debate, CM Rekha Gupta sharply criticised former Finance Minister Atishi for raising questions on amendments passed in meetings she did not attend. “She is now questioning reforms that she neither debated nor helped shape. It is unfortunate that someone entrusted with Delhi’s finances remained absent during key deliberations,” said CM Rekha Gupta.
She further noted that Atishi missed not only the 55th GST Council Meeting, where these reforms were approved, but also several previous sessions. The CM added that had the former government respected institutional processes, Delhi would have benefitted even more.
Delhi’s Strong Tax Performance Under New Leadership
CM Rekha Gupta highlighted that Delhi’s GST + VAT collections have grown significantly—Rs 15,535 crores in just the first five months of FY 2024–25, up from Rs14,500 crores under the previous administration during the same period. “A 7% increase in revenue in just five months is proof that these reforms are working and that the people of Delhi are responding positively to transparent governance,” she said.
Clarification on Delhi’s Fiscal Role as a Union Territory
The CM also addressed misconceptions about Delhi’s revenue authority, stating: “Delhi is a Union Territory. Income tax, customs, and corporate taxes are handled by the Centre not the Delhi Government. We are responsible for GST, VAT, Excise, and Stamp Duty.” She thanked the Central Government for continuing to bear the costs of law enforcement, pensions, Metro operations, and major urban development schemes. “From Delhi Police salaries to pensions worth Rs 6,000 crores, from Metro Rail to Central Universities Delhi receives more than its due. It is the Centre that ensures Delhi runs smoothly, regardless of politics,” she stated.
In conclusion, CM Rekha Gupta praised the Revenue Department for its dedicated execution of these complex reforms and reaffirmed her government’s vision for a compliant, efficient, and business-friendly taxation environment. “The Delhi Government under my leadership is committed to creating a robust tax ecosystem that supports both governance and growth,” she concluded.
