The GST Council is expected to consider a proposal at its October 7 meeting to remove arrest powers from tax officials and require a court order for any arrest.
The proposed reforms include raising the threshold for launching criminal proceedings for offences to ₹5 crore and narrowing the scope of prosecution provisions.
The changes form part of the government's Next-Generation GST reform agenda, aimed at shifting from arrest-led deterrence to technology-led detection and civil liability.