Impact Of Gst Implementation On Retail Entrepreneurs In India

Abstract

Goods and Services Tax (GST) is one of the most important tax reforms brought to bear by India at present, to make a comprehensive and transparent, consolidated tax system. The objective of this paper is to evaluate the effect of GST on retail entrepreneurs and the effects of the new tax system on retail-oriented economy. The study discusses the structure and framework of GST, its aims, its characteristics and its mechanism of application. The research estimates the impact of GST and examines the cost, price and profitability of retail businesses, compared to pre-GST and post-GST taxation systems. It checks if GST has made tax compliance easier and trade between retailers more efficient. This research also highlights some of the challenges such retail entrepreneur’s face under the GST environment: compliance as well as technology adaptation, filing processes and tax intricacies. In addition, the study explores changes in retail sales and the following expansion/deterioration patterns that the industry is experiencing post GST, including its sales activity, cost of operations, and expansion possibilities for its business. Through analysis of this the research presents a wide view of the pros and cons of GST for retail entrepreneurs. The results will be helpful for the retailers, policymakers, researchers and stakeholders to evaluate the effectiveness of GST, how effectively it contributed to the development of the retail landscape.