New Delhi: India’s Goods and Services Tax (GST) regime has completed nine years with a significant expansion in its taxpayer base and collections, while businesses are now looking towards an AI-driven, predictive compliance framework as the next stage of reforms.
According to government data, the number of registered GST taxpayers has grown from 66.5 lakh in 2017 to 1.65 crore as of May 2026, reflecting the widening tax base and increasing formalisation of the economy.
GST collections record strong growth
GST revenues have also witnessed substantial growth since the indirect tax system was introduced in 2017.
Gross GST collections increased from around Rs 7.4 lakh crore in 2017-18 to nearly Rs 22.27 lakh crore in 2025-26.
Over the past five years alone, collections have risen from approximately Rs 13.76 lakh crore in 2021-22, highlighting sustained improvements in tax compliance and economic activity.
The momentum has continued in the current financial year, with GST collections touching around Rs 4.37 lakh crore during April and May 2026.
In June 2026, India’s gross GST collections rose 13.9 per cent year-on-year to Rs 1.95 lakh crore, driven largely by higher revenue from imports.
Industry looks towards GST 2.0
Marking nine years of GST, Deloitte released its GST@9 Survey, indicating that businesses now expect the next phase of GST reforms to move beyond digitalisation towards a more intelligent and integrated system.
The report says GST 2.0 should focus on:
- AI-driven tax compliance
- Predictive analytics
- Data-led dispute resolution
- A seamless taxpayer experience
- Greater integration across digital platforms
According to the survey, businesses increasingly want technology to simplify compliance while reducing litigation and improving certainty.
Survey shows strong industry confidence
The Deloitte survey is based on responses from 1,096 business leaders across eight sectors, including micro, small and medium enterprises (MSMEs).
It found that more than 99 per cent of respondents reported either a positive or neutral experience with GST.
Negative sentiment has fallen sharply over the years—from 10 per cent in 2022 to 5 per cent in 2025, and is now close to zero.
Technology driving compliance
Respondents identified several factors that have strengthened confidence in the GST system:
- 69 per cent cited digitalisation of compliance.
- 54 per cent highlighted automation of tax processes.
- 48 per cent pointed to the stabilisation of e-invoicing and e-way bill systems.
The survey noted that businesses increasingly rely on digital platforms for greater accuracy, faster compliance and improved predictability.
Focus shifts to intelligent tax administration
Industry leaders believe the next stage of GST reforms should leverage artificial intelligence to automate routine compliance, identify errors before filings, minimise disputes and improve taxpayer services.
Experts say integrating AI into GST administration could reduce compliance costs while making the tax ecosystem more efficient for both businesses and authorities.
Conclusion
Nine years after its rollout, GST has evolved into one of India’s largest digital tax ecosystems, with a taxpayer base that has nearly tripled and collections reaching record levels. As compliance systems mature, businesses are now looking to GST 2.0, where artificial intelligence, predictive analytics and integrated digital services are expected to shape the future of indirect taxation.
