India's goods and services tax system is headed for a major change. The Centre plans to roll out faceless scrutiny and audit for CGST by fiscal year 2028. The move would remove direct contact between taxpayers and tax officers.

The plan was discussed at the GST Council meeting held in New Delhi. Under the new system, case selection and notices will be generated centrally. Officers from different states and the Centre will handle cases jointly.

Around two lakh taxpayers with multi-jurisdiction operations are likely to come under the new system in the first phase. The government says this will cut disputes and reduce harassment complaints.

A public consultation paper will be released before the end of 2026. Businesses, tax experts and industry bodies will be invited to give feedback on the design.

The faceless model follows the success of faceless assessment in income tax. Officials say technology-driven scrutiny has already improved compliance.

Small businesses have welcomed the move but want clarity on timelines. The government has said the rollout will be phased, with full coverage by FY28.

The Council also discussed data sharing between the Centre and states to make the system smooth.