Title: Impact of goods and service tax on micro, small and medium enterprises in India

Authors: Shetty Deepa Thangam Geeta; S.P. Mathiraj

Addresses: School of Management Studies, Sathyabama Institute of Science and Technology, Chennai 600119, Tamil Nadu, India ' Department of Corporate Secretaryship, School of Management, Alagappa University, Karaikudi, Tamil Nadu, India

Abstract: Micro, small and medium enterprises (MSMEs) in India play a vital role in developing the country where more than 120 million persons are employed in these sectors. The study is based on secondary data to evaluate MSMEs performance and bring out the impact of Goods and Service Tax from date of its implementation on MSMEs in parameters such as number of enterprises, employment, exports and fixed investment applying the Ordinary Least Square (OLS) regression method. The finding of paper shows that the share of MSME in GVA and GDP are stagnated from 2012-13 to 2017-18 and in 2017-18 share of MSME in GVA increased by 0.02% which shows positive impact of GST on gross value-added working enterprises and market values of fixed assets are positively influenced by the indirect taxes on MSMEs. This paper will help the entrepreneurs of MSMEs to overcome the challenges posed by GST implementation.

Keywords: MSMEs; gross domestic product; nation manufacturing policy; growth of MSMEs; performance of MSMEs; impact of GST on MSMEs in India.

DOI: 10.1504/WREMSD.2023.127251

World Review of Entrepreneurship, Management and Sustainable Development, 2023 Vol.19 No.1/2, pp.148 - 156

Received: 20 Sep 2020
Accepted: 10 Jan 2021

Published online: 30 Nov 2022 *

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