📄 Abstract
The Goods and Services Tax (GST) has brought significant changes in the taxation and business environment of Micro, Small and Medium Enterprises (MSMEs) in India. This study examines the impact of GST reforms and their influence on MSMEs in the Andaman and Nicobar Islands, with special reference to Sri Vijaya Puram. The study focuses on MSMEs’ perceptions regarding GST awareness, compliance, digitalisation, Input Tax Credit (ITC), transparency, compliance costs, and overall business performance. Primary data were collected from 180 MSME respondents using a structured questionnaire. Descriptive statistics, Chi-square analysis, and multiple regression analysis were employed to analyse the data. The findings indicate that GST has contributed positively to digitalisation, accounting practices, business formalisation, transparency, and access to ITC. However, increased compliance workload, accounting expenses, and compliance costs remain major concerns among MSMEs. The regression results show that GST awareness, compliance, digitalisation, ITC, and transparency have a significant positive influence on MSME business performance, whereas compliance cost has a significant negative influence. The model explains 58.0% of the variation in MSME business performance (R² = 0.580). The study concludes that simplifying GST procedures, strengthening digital support, improving GST awareness, ensuring timely ITC benefits, and reducing compliance costs can enhance the positive impact of GST on MSMEs in the island economy.
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📚 How to Cite:
Dr. BSV Meera Setty , IMPACT OF GST REFORMS AND ITS INFLUENCE AMONG MSMEs IN ANDAMAN & NICOBAR ISLANDS: A STUDY WITH REFERENCE TO SRI VIJAYA PURAM , Volume 14 , Issue 9, September 2026, EPRA International Journal of Economic and Business Review(JEBR) , Pages: 1 - 9 , DOI: https://doi.org/10.36713/epra31468