Psychological Impact of GST on Small Business

Abstract

India is very unique by birth it is known for good hospitality and ecofriendly business environment for small and big player equally by RBI survey almost nine million SMEs are existed in India. what you see and hear both are not correct some time such situation emerge than the role of SMEs come in picture let me clear it by giving estimation by researcher that Number of SMEs are behind one big company. That is why contribution of this sector is directly 7% and indirectly 30% in economy .But since implementation of GST raises several questions on very existence of the sector because 70% are not in threshold limit of GST so these are not in range of getting input tax credit. Under the previous tax regime, if your business had operations across many states, you would have to register for sale tax/ VAT with each states sales tax department in order to do business activities .The reason that every state had different tax laws complicated the entire process, and business owners had to pay many procedural charges for VAT registration and uncontrolled chain of cascading started. Under GST, the registration is centralized and the rules are uniform for all the states across the country. Abbul Hasan Khan"Psychological Impact of GST on Small Business" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-2 | Issue-2 , February 2018, URL: http://www.ijtsrd.com/papers/ijtsrd9446.pdf http://www.ijtsrd.com/management/accounting-and-finance/9446/psychological-impact-of-gst-on-small-business/abbul-hasan-khan