Calls for GST 2.0 reforms
While businesses welcomed the progress made, they flagged the need for bold reforms in the next phase of GST. The top demand is for an effective and time-bound dispute resolution mechanism. Companies also want uniformity in audits across central and state authorities, rationalization of GST rates, and removal of the inverted duty structure.
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“Promoting exports by liberalising GST export provisions has surged as the top priority for GST 2.0, followed by rationalising rates and unlocking working capital,” the report said. MSMEs, in particular, emphasised the need for faster refunds and cross-utilization of CGST credit to ease cash flow pressures.
GST simplifies compliance for businesses: Deloitte Survey
According to the survey 85% of respondents said their experience with GST has been positive in 2025, a sharp jump from 59% in 2022. The Goods and Services Tax (GST) was implemented in India on July 1, 2017 replacing a complex system of multiple indirect taxes levied by the Centre and states (like excise duty, VAT, service tax, etc.).
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The survey found that most businesses credit GST with simplifying compliance, improving supply chain efficiency and ensuring more competitive pricing. MSMEs also reported stronger confidence, with positive perception rising to 82% from 78% last year. Global Capability Centres (GCCs) emerged as the most optimistic sector, with 90% of respondents expressing satisfaction.
Deloitte Survey highlights challenges in ease of doing business
Despite overall optimism, respondents highlighted persistent hurdles in the GST regime. Delays in refunds, expansive legal interpretations by tax officials and denial of export status continue to impact ease of doing business. The registration process was also flagged for reform, with calls for a uniform document checklist and faster approvals across India.
Disputes and litigation a concern:Deloitte Survey
The survey also highlighted that litigation emerged as another pain point. Businesses expressed concern over hasty demand orders, prolonged audits and appellate orders that simply repeat earlier rulings without fresh reasoning. A majority backed automation of interest payments on refunds and pre-deposits to ensure fairness and reduce manual delays.
Technology push for GST 2.0:Deloitte Survey
On the technology front, the survey noted strong appreciation for the GST portal’s digitisation drive. Features like auto-population of returns from e-invoicing data and real-time registration updates received high marks. However, respondents sought further upgrades such as AI-based error detection, a unified taxpayer dashboard and 24/7 grievance redressal.
MSMEs pointed to integration challenges with the new Invoice Management System (IMS), saying it adds to their compliance burden.
Survey highlights the need to support MSMEs
The survey also highlighted the need for continued support to smaller businesses. Quarterly returns with monthly payments, threshold relaxations for registration and simplified ITC eligibility were seen as the most beneficial measures for MSMEs. Nearly half the respondents strongly backed B2C e-invoicing to improve vendor compliance and transparency.