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@article{189138,
        author = {Ms. Tejal Navrangani and Dr Meghashree Dadhich},
        title = {GST Compliance Burden on Small Businesses in Gujarat},
        journal = {International Journal of Innovative Research in Technology},
        year = {2025},
        volume = {12},
        number = {7},
        pages = {7792-7798},
        issn = {2349-6002},
        url = {https://ijirt.org/article?manuscript=189138},
        abstract = {The introduction of the Goods and Services Tax (GST) in India represents one of the most significant fiscal reforms since independence, with the objective of creating a unified, transparent, and efficient indirect tax system. By subsuming multiple central and state taxes into a single framework, GST was designed to simplify taxation, eliminate cascading effects, and promote ease of doing business. At a macroeconomic level, the reform has contributed to improved tax compliance, broader tax base, and enhanced revenue collection for both the central and state governments.
However, despite these intended benefits, the implementation of GST has posed considerable challenges for small businesses, particularly in states like Gujarat, where micro and small enterprises form the backbone of industrial and trading activity. Small businesses often operate with limited financial, managerial, and technological resources, making it difficult for them to adapt to the complex compliance requirements of the GST regime. Frequent return filings, continuous changes in rules and procedures, reconciliation of invoices, and strict deadlines have significantly increased the procedural burden on these enterprises.
Another major concern is the cost of compliance. Many small businesses are compelled to hire tax consultants, invest in accounting software, and train staff to meet GST requirements, leading to higher operating costs. In addition, technological barriers such as inadequate digital literacy, system glitches on the GST portal, and limited access to reliable internet connectivity especially in semi-urban and rural areas of Gujarat further intensify compliance difficulties. These challenges often result in errors, penalties, and delays in return filing.
This paper examines the GST compliance burden on small businesses in Gujarat by analyzing procedural complexities, compliance costs, and technological constraints, as well as their impact on business operations, cash flow, and growth prospects. The study aims to highlight key issues faced by small enterprises and suggest measures to reduce compliance stress while ensuring effective implementation of the GST framework.},
        keywords = {GST, Small Businesses, Compliance Burden, Gujarat, Taxation},
        month = {December},
        }