AI could become the biggest upgrade to India’s Goods and Services Tax (GST) system since its rollout in 2017. As GST completes nine years, businesses are increasingly looking beyond tax rates and seeking technology-driven reforms that can make compliance faster, smarter and largely automated.
According to Deloitte’s latest report, GST@9: The Next-Gen GST – Reform, Rationalise and Simplify, 89% of respondents want AI-led data processing and reconciliation to be integrated into the proposed GSTN 2.0, highlighting strong industry support for using artificial intelligence to simplify indirect tax compliance.
The findings suggest that businesses are no longer looking only for lower tax rates or fewer compliance requirements. Instead, they want the GST Network (GSTN) to evolve into an intelligent platform capable of automating repetitive tasks, identifying mismatches in real time and reducing the need for manual reconciliation. AI-enabled systems could help taxpayers detect errors before returns are filed, improve data accuracy and reduce compliance costs.
Smarter GST portal
The survey shows companies expect GSTN 2.0 to offer much more than a digital filing platform. Respondents called for pre-filled GST returns, intelligent reconciliations, real-time status tracking and seamless integration with e-way bills, e-invoicing systems and SEZ portals. Such features could eliminate duplicate data entry, improve efficiency and make tax compliance significantly less time-consuming.
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Businesses also want a more user-friendly portal. Around 53% of respondents sought unified dashboards to manage multiple compliance functions from a single interface, 42% wanted longer access to historical data, while 34% called for better portal performance during peak filing periods. Together, these findings indicate that businesses now expect GST technology to become more intuitive and intelligent rather than simply digital.
GST enters a new phase of reform
Deloitte believes GST has now moved from the phase of stabilisation to optimisation. After nearly a decade of implementation, the emphasis is shifting towards improving user experience, reducing compliance burdens and leveraging technologies such as AI to make tax administration more efficient. The report says digital adoption, responsive policymaking and improved tax administration have laid the foundation for the next generation of GST reforms.
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The importance of technology is also reflected in another key finding. Compliance digitalisation emerged as the most valued benefit of GST, with 69% of respondents identifying real-time reporting and data analytics as the tax regime’s biggest advantage. Large and very large enterprises, which manage complex tax operations across multiple states, reported the strongest appreciation for digital compliance capabilities.
Technology alone not enough
While AI remains a major focus, businesses believe broader policy reforms are equally important. The survey found that 85% of respondents want greater clarity in tax interpretation, making it the top structural priority for GST 2.0. Companies also called for faster refunds, more consistent audits, flexible input tax credit utilisation and simplified return filing to further improve the ease of doing business.
The report also notes that confidence in GST has reached its highest level since its introduction. Ninety-nine percent of respondents expressed either a positive or neutral view of the indirect tax regime, while negative sentiment declined to less than 1%, reflecting broad industry acceptance after nine years.
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The next GST revolution
As policymakers prepare the roadmap for GST 2.0, the survey suggests the next major reform may not involve changing tax slabs but transforming how businesses comply with them. If AI-powered reconciliation, automated return preparation and intelligent compliance tools become integral to GSTN 2.0, India’s tax system could move much closer to a future where GST compliance is faster, more accurate and, for millions of businesses, almost automatic.
