GOODS AND SERVICES TAX (GST) AND ITS IMPACT ON SMALL BUSINESSES IN INDIA

Abstract

The Goods and Services Tax (GST) in India marked a significant reform in the country’s indirect taxation system. Implemented on 1 July 2017, GST replaced multiple indirect taxes with a unified tax structure aimed at simplifying taxation, improving transparency, and promoting economic growth. Small businesses, which form a major part of the Indian economy, have experienced both opportunities and challenges due to this reform. the impact of GST on small businesses in India with special focus on compliance requirements, tax administration, operational efficiency, and financial performance. GST has contributed to greater transparency, reduced cascading effects of taxes, and improved interstate trade by creating a common national market.