Ghaziabad: Finance Minister Nirmala Sitharaman on Friday asked GST officers to be polite and make life easier for honest taxpayers, but deal firmly with dishonest ones.
Speaking at the CGST building inauguration here, the minister flagged the need for “timely conclusion” of disciplinary proceedings against officers, and said by doing so the Central Board of Indirect Taxes and Customs (CBIC) would send a clear message that misconduct, dereliction of duty or unethical behaviour will not be tolerated.
Asking field officers to use technology for faster registration approvals and grievance redressal, Sitharaman also tasked them to “proactively” undertake trade facilitation measures. “There is no iron wall between you and trader, there is thin air. You can understand where the difficulty is, rather than muddying it up any further.”
She said GST officers need to show greater empathy and courtesy while dealing with honest taxpayers and make them feel that they are honourably treated under the next-generation GST.
“If there are people who are bad sheep among taxpayers, follow the protocol to get hold of them. But don’t look at everybody with suspicion,” she said.
“It is important that you remain polite. The next-generation GST is not just about rates, slabs, simplification. It should make the taxpayer feel different,” she said, adding that politeness, however, should not be seen as a compromise on enforcement.
“Keep up the good work, maintain the momentum of reforms, and always remember that our ultimate goal is to make life easier for the honest taxpayer. Don’t give comfort to the dishonest taxpayer in any way. If we do that, economic growth and prosperity will surely follow,” she said.
She said that tax officers need not be “subjective” while dealing with dishonest taxpayers, and only follow the laid down protocol or SoP.
On the issue of disciplinary proceedings against departmental officers, Sitharaman said swift conclusion of such proceedings reinforces accountability within the organization.
“Prolonged proceedings unfairly affect the morale and reputation of the officers involved – particularly the innocent. For those wrongfully accused, early closure brings relief and restoration of dignity. The Motto for disciplinary matters should be: Galat kiya hai toh khair nahi, sahi kiya hai toh koi bair nahi (If you do wrong, you won’t be forgiven, if you are right, there would be no ill feeling against you),” Sitharaman said.
The minister also nudged Goods and Services Tax (GST) officers to make use of technology to reduce the compliance burden on taxpayer seeking GST registration.
“Technology and risk-based parameters must do the heavy lifting and not the taxpayer. We do not want anybody from the field formation adding one little more burden or onus on the taxpayer. Technology should be used. You do smart inquiry into the situation and if necessary the taxpayer may be approached for something. But no shifting of onus on him saying give me more papers, give me this, give me that,” she said.
She also asked officers to map the recurring grievances in Central GST (CGST) zones and reach at the “root cause” of the problem.
The minister also said that the pending Central GST investigations must be closed expeditiously with quality orders that are well-reasoned, evidence-based and cut down litigation cost.
“Officials must be trained and encouraged to conduct quality investigations,” she said.
From November 1, 2025, the Simplified GST Registration Scheme will grant automatic registration within 3 working days in two cases: applicants whom the system identifies based on data analysis, and those who self-assess that their output tax liability will not exceed Rs 2.5 lakh per month.
“This single reform is expected to benefit 96 per cent of new applicants. Task of the field formation is to operationalise it without friction,” Sitharaman said.
She also said that GST Seva Kendra across India should be well-staffed, accessible and properly maintained, so that taxpayers receive timely and quality assistance. There must be a dedicated helpdesk for GST registrations to facilitate the taxpayers in the application process. “Field units must conduct an internal audit of the functioning of the GST Seva Kendras and take action on the shortcomings faced by the taxpayers,” Sitharaman said.
Quoting Confederation of All India Traders (CAIT) data on festive retail sales and e-commerce transaction which show there has been a boom in sale of goods and services after GST rates were slashed effective September 22, Sitharaman said: “What do these numbers tell us? They tell us that our economic policies including the recent GST rate rationalization – is having a meaningful impact.”
Effective September 22, next-generation GST reform was implemented under which it became a two-tier tax structure of 5 and 18 per cent, and a special 40 per cent rate for ultra-luxury items. Prior to this, GST was taxed at rates of 5, 12, 18, and 28 per cent, plus a compensation cess on luxury items.
This has resulted in slashing of prices of as many as 375 items ranging from toothpaste and shampoo to cars and television sets.
