Finance Department Notifies Amendments to Delhi GST Rules: One Person Company Added, Forms and Interest Provisions Revised [Read Notification]

The Finance Department of the Government of the National Capital Territory of Delhi has issued a notification dated June 2, 2025, introducing significant amendments to the Delhi Goods and Services Tax Rules, 2017.

Titled the ‘Delhi Goods and Services Tax (Fourth Amendment) Rules, 2023’, the notification brings several targeted updates, aimed at streamlining registration, compliance, and interest provisions under the Delhi GST framework.

A major highlight of the amendment is the addition of “One Person Company” as a distinct category in Part B of Form GST REG-01. This allows single-person business entities to be recognized separately for registration purposes under the Delhi GST regime. The addition, added after clause (xiv) in serial number 2 of the registration form, shall enable easier compliance processes for entrepreneurs operating as One Person Companies.

A new sub-rule has been inserted in Rule 28, specifying that the value of supply of services by a supplier to a related person, by way of providing a corporate guarantee to any banking company or financial institution, will now be deemed to be one percent of the amount of such guarantee or the actual consideration, whichever is higher.

In Rule 142(3), the wording has been revised to require the proper officer to issue an “intimation” instead of an “order” as was the norm before.

Rule 159(2) has also been modified to state that any provisional attachment will now cease to have effect, either on issuance of a specific order by the Commissioner or on expiry of one year from the date of the order, whichever is earlier, thereby introducing a time-bound safeguard for taxpayers.

Another set of changes have been effected to the GST Forms required to be filed by taxpayers.

Form GST REG-08 regarding the cancellation of registration for tax deductors and collectors, has been substituted with a new format, which clarifies procedures for cancellation and emphasizing that such cancellation does not absolve any taxliabilities prior to the date of cancellation.

Similarly, changes have been made to Form GSTR-8, specifically in the entries concerning interest, late fees that have been paid/payable, and debit entries.

Additions have also been made to the existing eligibility criteria for enrollment as a GST practitioner, as in Form GST PCT-01, listing specific degrees and qualifications, now letting Sales Tax practitioner and Tax return preparer practicing for a period of not less than five years

Lastly, the rules clarify that orders for provisional attachment issued under Form GST DRC-22 will cease to have effect upon issuance of the corresponding DRC-23 order or after one year, whichever is earlier.

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