India Inc Thumbs Up GST: Deloitte Survey Highlights Need for AI-Driven Reforms and Faster Refunds

India Inc Thumbs Up GST: Deloitte Survey Highlights Need for AI-Driven Reforms and Faster Refunds​

A resounding majority of Indian businesses have reported a positive or neutral experience with the Goods and Services Tax (GST), according to a new survey by Deloitte India. The GST@9 study, released ahead of the tax framework completing nine years, found that digitisation and rate rationalization are key benefits for stakeholders. However, the survey also highlighted significant concerns regarding audit and refund delays.

The research, which gathered 1,096 responses from leaders across eight diverse industries including MSMEs, revealed a near universal acceptance of GST among respondents. This confidence level was measured at a 99 per cent positive or neutral sentiment, with negative perceptions falling below one per cent.

How Digitisation and Rate Rationalization Are Benefiting Businesses​

Since its implementation on July 1, 2017, the GST framework has seen substantial growth in the taxpayer base. The number of taxpayers grew from 66.5 lakh in 2017 to approximately 1.65 crore by 2026.

The survey indicated that interpretational clarity is a top priority for future reforms, sought by 87 per cent of all respondents. Operational priorities also emerged strongly, with 61 per cent calling for uniformity in audits and 36 per cent demanding faster refunds.

Critical Concerns Point Towards Operational Bottlenecks​

Despite the positive sentiment towards GST overall, the survey pinpointed specific operational friction areas that require urgent attention. Stricter timelines for refunds and a pro-revenue approach to auditing processes stand out as major concerns.

The Deloitte survey highlighted centralised audits as a leading reform priority, noted by 72 per cent of respondents. This focus on centralized checks underlines the necessity for structured oversight across the tax ecosystem.

Priority Reforms: Inverted Duty and AI Integration​

The future roadmap for GST reforms is heavily focused on financial certainty and automated compliance. A significant cluster of concerns relates to inverted duty structures.

Nearly 70 per cent of respondents pointed toward expanding the refund formula, while 63 per cent called for further rate rationalisation. Fifty-one per cent also advocated for extending refunds to previous Input Tax Credit (ITC) accumulation.

Future Focus: AI and Seamless Digital Experiences​

The transition towards embedded intelligence and deep automation is gaining traction among stakeholders. An overwhelming 89 per cent of respondents identified AI-led data processing and reconciliation as the paramount priority. Eighty-four per cent support automatic tax utilization directly on the GST portal.

Gokul Chaudhri, President of Tax at Deloitte South Asia, commented that these findings signal a shift towards delivering greater transparency and certainty through intelligent, integrated capabilities. He noted that the GST Network is becoming India's trusted tax framework.

Mahesh Jaising, Partner and Leader of Indirect Tax at Deloitte India, emphasized the opportune moment to address working capital concerns. He stressed the importance of expanding the scope of the inverted duty structure refund formula to include input services and capital goods.