Rationalization of Next-Generation GST Reforms: Enhancing Ease of Doing Business and Economic Competitiveness

India’s Goods and Services Tax, introduced in 2017, was envisioned as a transformative reform to unify indirect taxation and foster competitiveness. However, compliance burdens, multiple tax slabs, and frequent rule changes continue to limit efficiency. This study examines the impact of next-generation GST reform, including compliance simplification, slab rationalization, and digital automation, on the ease of doing business and competitiveness, with a focus on enterprises in the state of Maharashtra. A mixed-methods design combined survey data from 200 GST-registered businesses with expert interviews. Findings indicate that rationalization significantly improves operational efficiency, reduces transaction costs, and strengthens competitiveness, with digital automation emerging as the strongest predictor. The study concludes that GST rationalization is not merely an administrative adjustment but a strategic imperative for India’s economic growth.