“Just 18% GST?” It Almost Broke Us.

We’re a small software services startup.

For every ₹1L project, ₹18K went to GST — even if clients delayed payments.
We paid taxes before we paid ourselves.
No full-time CA. Penalties for tiny errors. Hours lost in filings.

Growth didn’t feel like progress — it felt like punishment.

Many friends shut down. Not for lack of clients,
but because compliance crushed them before they could breathe.

It’s not “just 18%”.
It’s survival.

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From the personal perspective of those affected, there is a great need to address a growing concern in India's services sector. We, professionals in this industry, are paying a hefty 18% Goods and Services Tax (GST) that significantly trims our profit margins. It is getting harder and harder for us to cope with such high tax rates, which ultimately stifle growth.

The software industry in India, which forms a critical part of the services sector, has already proven its mettle worldwide. A reduction in the GST tax rate from 18% to 5% can further trigger a boom in this industry, thereby strengthening India's position on the global map. As per the data provided by the Indian Brand Equity Foundation, the IT-BPM industry's revenue was estimated at around $194 billion in FY 2020, and it continues to grow despite the challenges.

Throughout the world, tax rates are used as a lever to incentivize or discourage certain economic activities. Given the foundational importance of the software industry to India's economy, imposing such high GST rates seems counterproductive.

In conclusion, reducing the GST tax from 18% to 5% is necessary for the services sector. This will not only increase profitability for professionals and businesses but also provide a significant push to India's economic growth. Please sign this petition and join us in advocating for a more feasible and friendly tax structure.