The next phase of GST process reforms will come before the GST Council shortly, Finance Minister Nirmala Sitharaman wrote in a column published in The Economic Times, outlining plans to simplify compliance following the rate changes implemented on September 22, 2025.

In the column, titled “Next-gen GST: Taking India’s reform journey forward”, Sitharaman said the reforms had two connected objectives: reducing and rationalising tax rates, and making compliance easier. Together, they seek to provide relief to households and greater certainty to businesses, she wrote.

Citing post-reform data, the minister said the value of reported taxable supplies rose 25.8 percent between October 2025 and July 2026 compared with the corresponding period a year earlier. The increase covered all 11 sector groups and all major states, she added.

Gross GST collections reached Rs 12.46 lakh crore during April-September 2026, up 11.6 percent year-on-year, according to figures cited in the column. Each month from June through September recorded double-digit annual growth, with collections over those four months rising nearly 15 percent. Net collections, after refunds, increased 10.4 percent over the half-year.

Reported business-to-consumer sales rose 26.7 percent in the post-reform comparison. Sitharaman said tax relief reflected in prices could give families more room to spend on other needs or save, while household purchasing power supported business demand.

GST registrations across central and state jurisdictions stood at about 17.1 million at the end of August, nearly 15 percent higher than a year earlier. For the April-July 2026 tax periods, GSTR-3B returns filed by their due dates increased 12.6 percent, she wrote.

The minister said these improvements placed a responsibility on tax authorities to provide reliable service, clear guidance and timely resolution of difficulties.

She also highlighted an increase in the share of tax liability discharged through input tax credits and a decline in accumulated credit relative to taxable supplies. About Rs 1.80 lakh crore was refunded during April-September, she said, adding that greater predictability in refunds would help businesses plan purchases and production.

Sitharaman said simpler administration should help small and medium enterprises reach customers beyond their local markets. She credited states with helping shape the reforms and implementing the GST Council’s decisions.

Source: Money Control