SIAM Automotive Taxation Conference: Experts Call For Policy Reforms, Ease of Compliance

The Society of Indian Automobile Manufacturers (SIAM) organised its second annual Automotive Taxation Conference 2025, focusing on the theme "Drive with Policy Reforms and Innovation to Build Viksit Bharat." 

The gathering saw government representatives, automotive industry executives, and taxation specialists to address pressing issues surrounding automotive tax policies and their impact on India's manufacturing ecosystem.

The industry perspective was further represented through key SIAM committee leaders: Rajesh Shukla, Chairman of SIAM's Taxation Policy Group and Head of Indirect Taxation at Tata Motors Ltd.; Rajeev Goyal, Chairman of SIAM's Taxation Procedural Group and CFO – Auto & Farm at Mahindra & Mahindra; and Sanjeev Agarwal, Chairman of SIAM's Direct Tax Group and Head of Taxation & Customs at BMW India.

Officials outlined comprehensive measures being implemented to strengthen India's indirect taxation system. 

Shashank Priya, Special Secretary & Member (GST, CX&ST) at the Central Board of Indirect Taxes and Customs (CBIC), detailed several ongoing initiatives designed to improve the GST framework.

"We are working on rationalisation of tax rates, resolution of pending disputes, and improvements in refund mechanisms -- particularly for businesses facing inverted duty structures," Priya explained during his address. He also emphasized progress in automating data filing processes and enhancing reconciliation procedures for credit notes.

Digitisation Drives Compliance Efficiency

The conference highlighted significant technological advancements in tax administration. Vivek Ranjan, Member (Tax Policy & Legal) at CBIC, joined colleagues Bhaskar Goswami from the Central Board of Direct Taxes (CBDT) and Nisha Gupta, Senior Vice President at GSTN, in presenting proposed reforms aimed at streamlining business operations.

These technological enhancements include system improvements for auto-population of tax returns, simplified procedural requirements, and reduced compliance obligations for taxpayers across the automotive sector.

Industry Leaders For Predictable Tax Environment

Senior automotive executives emphasised the sector's crucial role in India's economic development during panel discussions. V Lakshmikumaran, Founder and Managing Partner of Lakshmikumaran & Sridharan Attorneys, highlighted the automobile industry's position as a major employment generator and manufacturing contributor, reinforcing its strategic importance within the 'Make in India' framework.

CFOs Seek Further Improvements

Leading automotive companies shared their experiences with India's tax reform journey. Arnab Roy, CFO of Maruti Suzuki India Ltd., praised GST implementation, noting its role in eliminating tax arbitrage and enhancing compliance efficiency. Roy emphasised that "policy predictability is essential to support continued investment in research, development, and energy transition technologies."

Hero MotoCorp's CFO, Vivek Anand, acknowledged substantial progress in tax reforms over the previous decade while advocating for additional improvements. Anand called for further GST slab rationalisation, clearer product classification guidelines, and more streamlined input tax credit mechanisms to minimise uncertainty and reduce administrative complexity.

Collaborative Policy Development

The event concluded with SIAM reaffirming its dedication to maintaining ongoing dialogue between automotive manufacturers and government policymakers. Participants expressed unanimous support for developing a balanced, transparent, and efficient taxation framework that promotes industrial expansion, innovation, and India's comprehensive economic development objectives.

The conference discussions revealed a shared commitment to creating tax policies that support the automotive sector's growth trajectory while contributing to India's vision of becoming a developed nation through manufacturing excellence and technological advancement.