Unveiling The Nexus: GST Revenue Loss; Causes And Consequences And Corruption
- IJLLR Journal
- Apr 30
- 1 min read
Parth Johri, B.A. LL.B., Amity Law School, Noida
ABSTRACT
This paper represents a comprehensive effort to explore one of the most pressing challenges in India’s tax administration — the evasion of Goods and Services Tax (GST) — and to propose feasible and forward-looking strategies to mitigate it.
The idea for this paper stemmed from an interest in understanding how modern legal and technological frameworks can enhance tax governance in a rapidly digitizing economy. Since its inception in 2017, GST has aimed to unify India’s indirect tax structure. However, the system continues to face challenges from non-compliance, fraudulent invoicing, input tax credit misuse, and enforcement inefficiencies. These challenges formed the foundation of this research, which also includes a detailed review of the legal foundations and statutory structure that governs GST in India.
Spanning seventeen weeks of continuous analysis, the paper is built upon a structured series of weekly progress reports. Through these, I explored various dimensions of GST evasion — from sector-specific patterns to the role of administrative loopholes, and from legal enforcement barriers to the promise of emerging technologies such as Artificial Intelligence (AI) in monitoring and compliance. A key part of this project involved evaluating real-world case studies and drawing lessons from international models in countries like South Korea, Brazil, and Estonia.
The research methodology combines doctrinal and analytical approaches, supported by data from government reports, judicial pronouncements, expert opinions, and scholarly literature. Notably, the dissertation includes a dedicated chapter on the integration of AI into the GST framework — a forward-looking exploration of how technology can transform tax enforcement through real-time surveillance, predictive analytics, and fraud detection.
