GST Completes 8 Years: Good for Government and Business
On July 1, 2025, India marked eight years of Goods and Services Tax (GST) — a landmark tax reform that unified multiple indirect taxes into a single system. Since its launch in 2017, GST has significantly altered the Indian tax landscape for governments, businesses, and taxpayers alike.
In this blog, we break down the key benefits, challenges, and milestones of GST, based on official data and policy updates.
What is GST? A Quick Recap
The Goods and Services Tax is a destination-based, multi-stage tax levied on the supply of goods and services.
It subsumed major central and state taxes like:
- Central Excise Duty
- Service Tax
- VAT, Entry Tax, Octroi
- Luxury Tax, Entertainment Tax
Launched via 101st Constitutional Amendment Act, GST is governed by the CGST Act, SGST Acts, IGST Act, and UTGST Act.
GST at 8 Years: Key Achievements
1. Massive Revenue Growth
- ₹1.74 lakh crore collected in June 2024, marking a 7.7% YoY growth
- Monthly average crossed ₹1.6 lakh crore in FY 2024-25
- Boosted compliance through e-invoicing, AI-led audits, and e-way bill tracking
2. Ease of Doing Business Improved
- One nation, one tax = no cascading
- Seamless ITC (Input Tax Credit) system
- Common GST portal for return filing, refunds, and registrations
- Removal of checkposts reduced truck turnaround time by 20–30% (Source: CBIC)
3. Formalisation of Economy
- Over 1.45 crore active GST registrations as of 2025
- SME participation improved via Composition Scheme and QRMP return filing
- Integration with MCA21, Income Tax, Customs for better data sync
8-Year GST Timeline: Key Milestones
| Year | Milestone |
|---|---|
| 2017 | GST rollout on 1st July |
| 2018 | E-way Bill implemented |
| 2019 | Introduction of GSTN portal upgrades |
| 2020 | QRMP scheme launched for small taxpayers |
| 2021 | Faceless assessments & GSTR-9C self-certification |
| 2022 | Scrutiny via GSTN-AI, risk-based alerts |
| 2023 | Changes in ITC rules, 2FA login |
| 2024 | Amnesty Schemes under Section 128A, GSTAT announced |
Is GST Really Benefiting Businesses?
Yes, despite initial hiccups, GST has evolved to become business-friendly:
✅ Lower compliance cost through automation
✅ Uniform tax rates reduce classification disputes
✅ Input tax credit has improved cash flow
✅ International credibility of Indian trade improved
✅ Export competitiveness enhanced through zero-rated supplies
However, challenges remain in:
- ITC matching and reconciliation
- Multiple rate slabs causing confusion
- Frequent rule changes and clarifications
Legal & Policy Highlights (2024–25)
- Notification No. 01/2024-GST introduced GST Amnesty for late filers
- GSTAT Rules, 2025 notified for faster dispute resolution
- Circular No. 248/05/2025-GST clarified tax on restaurant services in luxury hotels
- Kerala HC ruling reaffirmed that GST applies only if ₹7,500/month threshold exceeded in housing societies
🔗 Refer: www.cbic.gov.in
Expert View: What CAs and Tax Professionals Say
“The biggest win for GST is transparency and data linkage,” says CA Ankit Bansal.
“From a compliance nightmare, we now have a system that’s improving steadily with AI, analytics, and digital workflows.”
At Efiletax, we’ve helped 5,000+ clients migrate, comply, and benefit under the evolving GST framework.
How Efiletax Can Help
- GST Return Filing (Monthly, QRMP, Annual)
- GST Amnesty Support & Consultancy
- e-Invoicing & E-way Bill Generation
- GST Registration & ITC Reconciliation
- GST Litigation & Notice Handling
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Summary
GST completes 8 years in India, showing strong revenue growth and ease for businesses. With reforms like e-invoicing, Amnesty Schemes, and GSTAT, it’s now more streamlined and tech-enabled than ever.
FAQs on GST’s 8-Year Journey
Q1. Has GST reduced tax evasion?
Yes, the integrated portal, e-invoicing, and AI-based audits have improved compliance and curbed fake invoicing.
Q2. What is the biggest drawback of GST?
Multiple tax slabs and frequent changes create confusion, especially for MSMEs.
Q3. Is GST filing fully automated now?
Partially. While return filing is online, reconciliation and ITC tracking still require manual checks or third-party tools.