A recent survey by Deloitte India finds that most Indian businesses have had a positive experience with the Goods and Services Tax (GST) over the last eight years. While praising simplified compliance and business growth, the industry also calls for clearer regulations and better dispute resolution mechanisms to enhance GST efficiency.
Deloitte India, a leading audit, consulting, and advisory firm, has revealed through a new survey that Indian businesses have largely responded positively to the implementation of the Goods and Services Tax (GST) regime over the past eight years. The survey, released on June 24, indicates that GST has significantly simplified compliance and boosted business expansion across sectors.
Introduced in 2017, GST replaced a complex web of central and state taxes with a unified system, aiming to improve tax administration and enhance the ease of doing business. According to Deloitte’s findings, large enterprises and micro, small, and medium enterprises (MSMEs) alike reported improved tax compliance and reduced cascading of taxes.
You can access Deloitte India’s official site here: https://www2.deloitte.com/in/en.html
However, the survey also highlights several persisting concerns. Key among them are ambiguities in rules, the need for a robust dispute resolution mechanism, and rate rationalization, especially for MSMEs. Exporters have also flagged the lack of streamlined GST processes as a barrier to efficiency.
“While GST has been a game-changer in terms of compliance and digitization, the industry expects more clarity in audit processes, dispute resolution timelines, and rationalization of tax slabs,” said a Deloitte spokesperson.
A notable suggestion from the survey is the demand for uniform audit protocols and a single appellate mechanism to reduce litigation burdens on businesses. Additionally, small enterprises urged the government to ease compliance for lower turnover brackets and adopt technology to automate filings further.
The government has acknowledged some of these concerns in its recent GST Council meetings, indicating possible amendments to simplify rules and reduce litigation.
The GST Council’s ongoing engagement with stakeholders is expected to help refine the system, making it more industry-friendly while maintaining revenue efficiency.
