Section 25 of IGST Act 2017: Removal of Difficulties

Provisions under Section 25 of the Integrated Goods and Services Tax (IGST) Act, 2017 relating to “Removal of Difficulties”, are as under:

Section 25 of IGST Act 2017: Removal of Difficulties (CHAPTER IX – MISCELLANEOUS)

(1) If any difficulty arises in giving effect to any provision of this Act, the Government may, on the recommendations of the Council, by a general or a special order published in the Official Gazette, make such provisions not inconsistent with the provisions of this Act or the rules or regulations made thereunder, as may be necessary or expedient for the purpose of removing the said difficulty:

Provided that no such order shall be made after the expiry of a period of three years five years from the date of commencement of this Act. [Refer Note 1]

(2) Every order made under this section shall be laid, as soon as may be, after it is made, before each House of Parliament.

Amendments History:

1. In the proviso to sub-section (1), the text ‘five years’ substituted for the text ‘three years’ vide Section 134 of the Finance Act 2020: GOI Notification dt. 27/03/2020, followed with CBIC Integrated Tax Notification 4/2020 dated 24/06/2020 on commencement date of 30/06/2020.

Commentary on Section 25 of the IGST Act

Section 25 of the Integrated Goods and Services Tax (IGST) Act, 2017, titled “Removal of Difficulties,” provides a mechanism to address any difficulties or challenges that may arise in implementing the provisions of the IGST Act. The section grants the government the power to take necessary steps, based on recommendations from the Council, to resolve these difficulties. Here is a commentary on the provisions under Section 25:

Section 25(1) of the IGST Act

Section 25(1) allows the government to issue general or special orders, published in the Official Gazette, in order to remove any difficulties in implementing the provisions of the IGST Act. These orders should be consistent with the Act, as well as the rules and regulations made under it. This provision ensures that the government has the flexibility to address any unforeseen challenges or issues that may arise during the implementation of the Act.

However, there is a limitation on the government’s power to issue such orders. The proviso to Section 25(1) states that no order can be made after five years from the date of commencement of the IGST Act. This ensures that the government’s authority to address difficulties is time-bound and not an indefinite power.

Section 25(2) of the IGST Act

Section 25(2) mandates that every order made under Section 25(1) must be laid before both Houses of Parliament as soon as possible after it is made. This provision ensures transparency and parliamentary oversight of the government’s actions in addressing difficulties related to the IGST Act.

In summary, Section 25 of the IGST Act, 2017, empowers the government to take necessary actions to remove any difficulties in implementing the provisions of the Act, subject to recommendations from the Council and consistency with the Act’s provisions. However, this power is limited by a five-year time frame and requires parliamentary oversight to maintain transparency and accountability.

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Note: The IGST Act 2017 has been notified vide GOI Notification dated 12/04/2017, which has subsequently been amended through IGST Extension to J&K Act 2017, IGST (Amendment) Act 2018. Finance Act 2019, Finance Act 2020, Finance Act 2021, Finance Act, 2022 and Finance Act, 2023, including various Notifications issued by the Govt./ CBIC from time to time, relating to the commencement dates of various Sections/ Provisions in the respective IGST/ Amendment Acts, wherever required. Information on this page is a Section-wise compilation of the Amendments made by various Notifications issued by CBIC from time to time, with best possible efforts for accuracy. In any case, E&OE. For official/ updated information, please visit CBIC website.