As the Goods and Services Tax (GST) completes nine years, a joint industry survey by FICCI and KPMG in India has highlighted the need for simpler compliance, faster refunds, improved dispute resolution and greater use of technology to strengthen the next phase of GST reforms.
The report, GST Industry Survey: Assessing Impact, Challenges and Reform Imperatives, captures feedback from businesses across manufacturing, trading and services sectors. Overall sentiment towards GST remains positive, with respondents recognising its role in creating a unified tax regime, enabling seamless interstate trade, improving transparency and accelerating digital compliance.
However, businesses continue to face challenges around registration amendments, Input Tax Credit reconciliation, Invoice Management System compliances and refund timelines. The survey found that 59 per cent of respondents described the GST registration experience as satisfactory but involving minor delays or issues, while 57 per cent rated return filing as moderate in complexity.
Rajeev Dimri, Partner, KPMG in India and Co-Chair of FICCI Taxation Committee said “The survey reflects the significant progress GST has made in supporting ease of doing business by creating a unified national market and enhancing transparency across industries. At the same time, industry continues to seek greater simplification, faster dispute resolution, rationalised input tax credit provisions and a more predictable tax environment. Addressing these priorities through a taxpayer-friendly and business-centric GST framework will be important to improving competitiveness, supporting investment and sustaining long-term economic growth.”
The report identifies simplification of compliance and return filing, resolution of the inverted duty structure, faster dispute resolution and uniform interpretation across jurisdictions as key priorities. Industry also sought automated and time-bound refunds, greater flexibility in utilisation of tax credits and refunds of accumulated credits on input services and capital goods.
Technology is expected to play a central role in the next phase of GST. The survey recommends deeper integration between GST, Customs, e-Invoicing and enterprise systems, alongside AI-driven compliance and reconciliation.
Abhishek Jain, Partner and National Head, Indirect Tax, KPMG in India said “GST has matured considerably through greater digitisation and transparency, creating a more unified and efficient indirect tax framework. As businesses increasingly adopt digital and AI-enabled solutions, an integrated GST ecosystem with greater automation, streamlined processes and reduced manual intervention will be critical to enhancing taxpayer experience and unlocking the full potential of GST.”
The report concludes that GST must now move beyond digitisation towards greater simplicity, automation and certainty, supported by a predictable tax administration framework and faster dispute resolution.
