Kolkata (FNO):
In a major reform aimed at simplifying the Goods and Services Tax (GST) framework, the government has introduced Rule 14A into the CGST Rules, 2017 through Notification No. 18/2025 – Central Tax. The new provision, effective 1 November 2025, is designed to ease the registration process for small and low-risk taxpayers across the country.

Rule 14A provides significant relief to micro-enterprises, freelancers, small service providers, and small traders, particularly those engaged primarily in B2B supplies. The rule creates an optional, simplified registration route for “small B2B suppliers”—businesses whose customers are mainly GST-registered and whose estimated monthly GST liability does not exceed ₹2.5 lakh. Notably, the threshold refers to tax liability, not turnover.

The new mechanism aims to reduce paperwork and accelerate approvals for compliant businesses. However, the government has clarified that opting for Rule 14A does not dilute core GST obligations; taxpayers must continue adhering to all rules related to invoicing, return filing, and record maintenance.

If a business registered under Rule 14A exceeds the prescribed threshold or wishes to exit the simplified route, it may switch back to the regular regime by filing GST REG-32. Upon approval, authorities issue GST REG-33, allowing the same GSTIN to continue without requiring a fresh registration.

With the rollout of Rule 14A, policymakers expect smoother onboarding and lower compliance barriers for India’s smallest businesses, while maintaining necessary checks within the GST ecosystem.