A Study on Impact of Gst on Msme with Special Reference to Peenya Industrial Area in Bangalore
Keywords:
GST and MSMEs, Research Design, Data Discussion and Conclusion.Abstract
MSME are critical to a country's economic development, hence the installation of GST has a significant impact on their ability to stay in business. Although it has proven to be beneficial to some businesses, the majority of them are having difficulty implementing it. GST enhanced the efficiency of existing enterprises by streamlining the tax system, unifying the market, and streamlining all aspects of MSME operations. Previously, unorganised MSMEs grew faster than organised MSMEs due to tax minimization; however, with GST in place, the tax structure has become more open, resulting in the liability of entities for tax payments. The concerns and obstacles that MSME entrepreneurs face were highlighted in this report. By employing Cluster Random Sampling Technique, 158 MSME Entrepreneurs in Bangalore's Peenya Industrial Area were selected for the study in order to determine the influence on many aspects such as implementing GST, creating a registration for taxation, and high compliance burden. One-way ANOVA was utilised as a statistical method for the investigation. The significant difference in GST impact levels across MSMEs is determined using an ANOVA analysis. The effect on India's MSME sector might be both beneficial and negative, according to the findings.