Experts urge GST Council to prioritise simpler tax compliance

Ahead of the GST Council’s 57th meeting in New Delhi, tax specialists have called for reducing the compliance burden on businesses. The Hindu reported that tax rates are not expected to be discussed.

The meeting is scheduled for October 8. It will be the Council’s first since September 3-4, 2025, when it introduced wide-ranging changes to tax rates and slabs. The GST system turned nine in July, and the Council has held 56 meetings. Experts say revenues have stabilised.

Proposals from the central government cover process and structural reforms, exports of services, e-commerce and measures to make business easier. Final decisions will be known after the meeting.

Possible steps include faster refunds, especially for exporters, relaxing restrictions on input tax credit and coordinating tax audits for companies registered in multiple states. Experts say inconsistent interpretations across jurisdictions can raise litigation risks, tie up working capital and make planning harder.

Some business representatives have also proposed reducing the number of tax slabs, abolishing the cess and revising Section 17(5) to allow input tax credit on verified business expenses. Many ordinary business costs are currently ineligible for the credit and may add to the price of final goods.

Another proposal would allow a business to register in one state and sell across India instead of registering in every state where it operates. The Hindu said some proposals are still under discussion and the Council has not yet made a final decision.