About 80% of the businesses say that the GST law requires additional reforms including removing Input tax credit restrictions and introducing an amnesty scheme, for resolving existing tax disputes that had tied up business capital and government revenue.
Introduced in 2017, the law will complete six years on July 1.
“Business leaders across industries have been quite appreciative of the transformation brought in by user-friendly tech engines, such as GSTR 2B, sequential return filings, the timely transition of e-invoicing data, and the GST portal,” the survey released on Tuesday said.
About 80% business leaders expressed that the time is ripe for the next phase of GST regime reforms for enhanced Ease of Doing Business and sectoral growth.
They added that while revenue growth is impressive, the government must resolve current issues and demands, particularly those that are revenue neutral, to fully realise the benefits of the GST regime in India.There is also an inclination towards export rule liberalisation under the GST law with 78% respondents citing it as the most-needed impetus, followed by unlocking working capital, removing ITC restrictions, and the removal of “deemed supply” provisions, survey said.“To boost economic progress and create a conducive business environment, the government could introduce additional measures for MSMEs in the country, granting them an opportunity to avail input tax credits on invoice receipts and relaxing corresponding requirements to further reduce the cost and compliance burden,” Mahesh Jaising, Partner and Leader, Indirect Tax, Deloitte India said.
The survey was conducted by Deloitte, with responses from 612 senior leaders across industries and companies, including Consumer, Technology, Media and Telecommunications, Energy Resources, Financial Services, Life Sciences, and Government and Public Services.