As India continues its journey of digital transformation, experts have suggested innovative measures to strengthen tax fairness under the Goods and Services Tax (GST) regime.

Dr. Monish Bhalla, a noted tax and legal expert, has proposed the creation of a GST Consumer Grid powered by Artificial Intelligence (AI) to monitor the real impact of GST reforms on consumers.

In a social media post, Bhalla drew a parallel with the success of the Unified Payments Interface (UPI), which revolutionized digital payments not only in India but across the globe. He suggested that a similar innovation could be applied to taxation.

According to Bhalla, an AI Price Tracker could play a crucial role in ensuring transparency. The system would monitor retail prices before and after GST rate changes, thereby detecting instances where businesses fail to pass on the benefits of tax cuts to consumers. “This mechanism can flag profiteering practices and ensure that the real benefits of GST reforms reach end users,” he wrote.

The suggestion comes in the wake of recent GST Council announcements, where multiple reforms were approved to ease compliance and improve the overall tax ecosystem. The Council emphasized a multi-sectoral and multi-thematic approach aimed at enhancing ease of doing business, particularly for small traders and businessmen, while also striving to make the system more citizen-friendly.

Experts believe that a digital consumer grid linked with AI tools would not only promote tax fairness but also strengthen consumer confidence in the GST system. It could empower policymakers with real-time data on pricing trends, help authorities act against profiteering, and support businesses in adopting transparent practices.

With India already recognized as a global leader in digital innovation, stakeholders argue that integrating AI with GST compliance mechanisms could be the next big leap after UPI. Such an initiative would align with the government’s broader vision of #DigitalIndia and technology-driven governance.

If implemented, the GST Consumer Grid could become a pioneering model worldwide, setting benchmarks for how taxation systems can leverage AI to protect consumer interests while ensuring market fairness.

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