Page 271
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Digital Adoption, Technical Challenges and Access to GST Support –
Case Study of Rampur Bushahr Himachal Pradesh.
Dr. Rajan Devi Negi
Associate Professor, Department of Commerce. Govt.College Nirmand,Distt Kullu( H.P.)Pin 172023.
DOI:
https://doi.org/10.51583/IJLTEMAS.2026.150500026
Received: 02 May 2025; Accepted: 07 May 2026; Published: 25 May 2026
ABSTRACT
GST seeks to trace and regularize economic activity through digital platforms, invoice documentation, and return
filling systems. Similar to the way digital payments aimed to trace unregistered transactions, GSTtoo has
introduced tools such as e-invoicing, digital GST portals, and consumption schemes to promote participation
and reduce tax evasion.
GST has opened new avenues for growth. The removal of interstate barriers has allowed businesses to access
broader markets beyond their immediate geography. Simplified schemes like the Composition Scheme have
provided relief to low-turnover enterprises, while increased formalization has, in some cases, improved access
to institutional finance. These dynamics reflect the dual nature of GST’s impact , wherein short-term regulatory
pressure coexists with long-term possibilities. Despite various government reports and economic analyses, there
is limited localized, empirical research on the impact of GST on small enterprises in semi-urban areas. This study
addresses the gap by examining how GST has affected small businesses in Rampur Bushahr considered as local
trade centre catering to suburbs of four Districts namely Kinnaur ,Kullu, Shimla and Mandi in Himachal
Pradesh.
Keywords: Digital,GST,Rampur Bushahr, GST portals,Research.
INTRODUCTION
The Goods and Services Tax (GST) is an indirect tax system introduced in India on 1
st
July2017. It was
implemented to replace the earlier system of multiple indirect taxes such as VAT, excise duty, and service tax,
which made the tax structure complicated and difficult to manage. GST brings together various central and state
taxes under one common framework, simplifying the overall system and enhancing transparency.
GST is a value-added tax that is applied at every stage of the supply chain but is collected only on the value
added at each stage. This means that businesses can claim credit for the taxes paid on their inputs, which helps
reduce the overall tax burden. It is also a destination-based tax, meaning the tax revenue goes to the state where
the goods or services are consumed, not where they are produced.
The primary objective of GST is to simplify tax procedures, eliminate the cascading effect of taxes, and promote
a unified national market. It works on a dual model in India, where both the central and state governments collect
tax on the same transaction. Overall, GST was introduced to simplify taxation and support the formalization of
the economy. Since its introduction, GST has had a profound influence on the structure and functioning of small
and medium-sized enterprises across the country.
Beyond tax simplification, it has reshaped how businesses approach record-keeping, invoicing, and interactions
with supply chains. Enterprises, especially in semi-urban and rural areas, have had to adapt their traditional
methods to align with a more systematized, digitally- oriented model. While this transition has been met with
mixed responses , it has gradually contributed to a shift toward greater transparency and integration into the
formal economy.
Page 272
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
REVIEW OF LITERATURE
The review has been carefully divided into three core phases: The Pre-implementation Phase, the Implementation
Phase, and the Post-Implementation Phase of the Goods and Services Tax (GST) in India.
This structured approach provides a clear understanding of the GST journey – beginning with the preparatory
phase, followed by the actual rollout, and concluding with its long-term effects - especially in the context of
small businesses. It sheds light on policy intentions, transitional bottlenecks, and adaptive responses from the
business community.
Additionally, this section identifies significant research gaps within the existing body of work, underscoring the
relevance and necessity of the current investigation.
Phases of GST Implementation
Pre-Implementation Phase
This phase refers to the period before the GST launch on July 1, 2017, when policymakers were conceptualizing,
debating, and framing the reform.
Discussions during this stage focused on the expected benefits of GST, such as tax simplification and unification,
as well as the anticipated challenges related to fulfilling tax obligations, digital readiness, and formalization of
informal businesses. This phase captures the initial perceptions, expectations, and preparatory concerns
surrounding the new tax system.
a) Amaresh Bagchi (2006) “Towards GST: Choices and Trade- offs” This study laid the groundwork for
GST by analyzing India’s fragmented indirect tax structure and proposing a unified tax system. The author
discussed trade-offs inimplementing GST, such as balancing Central and State taxation authority, potential
revenue losses for states, and the need for an efficient IT infrastructure for tax collection. It emphasized that
a successful GST model must ensure fairness in revenue distribution while simplifying compliance for
businesses.
b) Pinaki Chakraborty and P.K. Rao (2010) “Goods and Services Tax in India: An assessment of the
base” This research focused on India’s tax base and readiness for GST implementation. It argued that for
GST to succeed ,a broader tax base was necessary to minimize revenue leakage and ensure economic
stability. The authors also emphasized the importance of determining the Revenue Neutral Rate (RNR) to
maintain fiscal balance without overburdening businesses or causing losses to the government.
c) Poonam Garg (2010) “Critical Success Factors for ERP Implementation in India Retail Industry: An
Exploratory Study” The findings indicate that the key factors influencing the successful implementation of
Enterprise Resource Planning (ERP) systems in India’s retail sector. While not directly focused on GST, the
research provides insights into the technological preparedness of SMEs, which is crucial for GST regulations.
The findings suggest that factors such as top management support,clear project objectives and effective
project management are vital for successful ERP implementation. These factors are equally relevant for
SMEs preparing to adapt to GST, as the new tax regime requires robust technological infrastructure and
efficient processes.
d) Monika Sharma, Shweta, and Rajeev (2010) “Scope of Cloud Computing for SMEs in India” This
investigation outlines, the potential of cloud computing as a cost-effective solution for SMEs in India.
upfront investments. In the context of GST, cloud-based solutions can streamline tax management by
offering scalable and accessible platforms for managing tax-related processes. The study highlights the
importance of technological adoption for SMEs to remain competitive and compliant in the evolving tax
landscape.
Page 273
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
e) Nitin Kumar (2014) “Goods and Services Tax (GST) in India. A way forward” Kumar observes GST as
a reform aimed at unifying India’s complex indirect tax system.The study argues that GST can reduce
economic inefficiencies, ease tax administration, and promote a common national market.
f) Shakir Shaik, S.A. Sameera and Sk. C. Firoz (2015) “Does Goods and Services Tax (GST) Lead to
Indian Economic Development?” Through this paper, the author assesses GST as a catalyst for economic
growth, stressing its potential to increase revenue efficiency and promote a common market. For SMEs, the
researchers suggest that GST can enhance transparency and reduce tax-related uncertainties. However, they
also caution that lack of digital infrastructure and awareness could hamper effective adoption among smaller
enterprises.
g) Indira Rajaraman (2015) “Challenges in Designing a GST for India” This article examines the
challenges in designing a GST framework suited for India’s economic and potential landscape. The author
discussed the difficulty of achieving a consensus between the Central and State government, particularly
regarding revenue-sharing and tax rate determination. This study also explored the impact of GST on
inflation, small enterprises, and informal sector businesses.
h) Garima Jain and Kashif Ansari (2015) “Impact of GST on Indian Startups” Jain and Ansari assess the
GST framework through the lens of startups and small businesses. Their findings show that while GST
simplifies taxation and reduces multi-stage tax complexities, it also introduces administrative pressure,
particularly for early-stage enterprises unfamiliar with digital filings and legal procedures. Overall, they
advocate for targeted support mechanisms for SMEs.
Implementation Phase
The Implementation Phase covers the early years following the GST rollout, from July 2017 to 2019, focusing
on the transition to the new tax regime.
This phase saw significant developments such as the launch of the GST Network (GSTN), multiple changes in
filing procedures, rate revisions, technical glitches, and resistance or confusion among small taxpayers.
It reflects the real-time experiences of businesses adapting to filing and registration procedures.
a) Namasivayam, Sri Padma Abirami P, Ramprakash S (2017) “Impact of GST in India” This review
assessed the initial impact of GST, focusing on logistics efficiency,tax transparency ,and compliance .While
GST reduced transportation delays, small businesses faced challenges in adapting to the new filing
procedures. However small businesses faced difficulties in transitioning to the GSTregime,
particularly due to the technical glitches in the GSTN portal and the complexities of filing returns.
b) S. Bhatia (2017) “Macro Impact: Will the GST Threaten the Survival of MSME?” Focusing on
MSMEs, this evaluation explored the financial and operational difficulties faced by small enterprises due to
GST. It highlighted cash flow disruptions caused by input tax credit refund delays and compliance
challenges. These factors pushed some businesses into the informal sector. The paper emphasized the need
for government intervention, such asrelaxation of filing requirements and tax exemptions, to ensure the
sustainability of MSMEs.
c) R. Shankar (2017) “GST: Impact and Implications on various Industries in Indian Economy” This
assessment provided a sector- wise analysis of GST impact, showing that while manufacturing industries
benefited from input tax credits and reduce cascading effects, service-based businesses experience higher tax
burdens. The study illustrated how different sectors adopted to GST, with e-commerce platforms facing tax
administrative hurdles due to evolving tax regulations. It also discussed consumer behavior shifts due to tax
changes highlighted challenges business faced in tax classifications.
d) Rajeev Verma and Anusha Reddy (2018) “GST Implementation in India: Challenges and Early
Outcomes” This observation analyzed the initial months of GST implementation, focusing on the
Page 274
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
administrative and economic challenges faced by businesses. It highlighted the confusion surrounding
multiple tax slabs, frequent policy revisions, and the burden of compliance for small enterprises.
The paper also examined consumer sentiments and inflation trends post-GST implementation, noting a short-
term rise in prices due to tax rate adjustments. Additionally, it discussed the effectiveness of government
outreach programs aimed at educating business about GST obligations.
e) Vidit Mohan and Salman Ali (2018) “Assessment of the Implications of GST Rollout on Indian
MSMEs” This work provides an overview on the effects of GST implementation on Indian MSMEs through
qualitative interviews and surveys. It identifies a gap between anticipated benefits and actual experiences,
highlighting challenges such as tax administrative burdens and inter-jurisdictional issues. The authors
suggest that effective deployment of GST requires addressing these challenges to support MSMEs across
different sectors.
f) Kanda, R. Handa, H., and Bhalla, G.S. (2018) “Impact of GST on Rural Economy – A study of
urbanized sector in Himachal Pradesh” Literature discusses the impact of GST on the unorganized sector
in Himachal Pradesh. Their findings showed that a significant portion of unorganized businesses in rural
regions lacked knowledge of GST regulations, causing confusion regarding adherence to regulations, digital
filing, and tax rates. The transition to GST posed operational challenges due to inadequate digital
infrastructure, limited IT skills, and insufficient government outreach. Many small business owners were
apprehensive about increased tax burdens and became heavily reliant on accountants. Although a few
businesses experienced benefits like streamlined tax processes and improved supply chains, most struggled
with the shift.
Post-ImplementationPhase
This phase starts once the transitional challenges of GST were addressed and the system stabilized, beginning in
2019. It focuses on the long-term effects of GST on business operations, profitability, formalization, and
digitization. Researchers began evaluating whether the intended objectives of GST -such as ease of doing
business, reduction in cascading taxes, and increased tax observance, especially for micro and small enterprises.
a) M.M. Sury (2019) “GST and Micro, Small and Medium Enterprises” Studies analyzed how the GST
regime impacted MSMEs, particularly in the early post-implementation period. Sury emphasized that
while GST was designed to unify the tax system, smaller business faced increased pressure due to ongoing
changes in rules and filing procedures. As a coping strategy many opted for the Composition Scheme to
reduce procedural stress, but doing so came at the cost of limited benefits, such as restricted access to
input tax credits. Capacity building and awareness programs were essential for smoother adaption.
b) Deena Jacob (2019) “Two Years of GST and Ease of Doing Business for MSMEs: Hits outweigh
Misses” This publication investigates and evaluates the two-year impact of GST on MSMEs, highlighting
both challenges and benefits. While the digital tax system initially posed obstacles related to tax
administration for small businesses, the author notes that long-term advantages ,such as streamlined
taxation and improved ease of doing business, have begun to outweigh the initial hurdles.
c) Kapil Garg (2019) “GST and Indian Fiscal Federalism: The Relevance and the Implications” This
perspective examined how GST affected fiscal federalism by alternating state government taxation
powers. “The study argued that while GST created a uniform tax system, it reduced states’ financial
independence”. The research also analyzed the compensation mechanisms introduced to offset state
revenue losses and assessed their effectiveness in maintaining financial stability.
d) Chanchal Kumar Sharma(2022) “Concessionary Federalism in a Dominant Party System?”
Indirect Tax Reforms and Subnational Acquiescence in India Current study explores how GST
implementation reshaped India’s federal structure through a model of concessionary federalism, where
states accepted reduced control over taxation in exchange for guaranteed compensation. Sharma argues
that the dominance of a single political party at the central level led to limited bargaining space for states
Page 275
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
in GST council decisions. It underscores the tactical observance of states driven by political alignment
and fiscal dependency.
e) K.J. Joseph and L. Anitha Kumary (2023) “India’s GST Paradigm and the Trajectory of Fiscal
Federalism: An analysis with special reference to Kerala” Prior analysis focused on the revenue impact
of GST on Kerala, a consumption-based state, revealing fluctuations in tax collections post-GST. It
discussed the border implications of GST for states that relied heavily on direct taxes. The author
suggested policy interventions, such as State- specific incentives, to maintain regional economic stability
under GST framework.
f) Priya Menonand Ashutosh Tiwari(2024)“ Evaluating the long-term fiscal effects of GST on Indian
Small Enterprises” Relevant research offers a longitudinal evaluation of GST’s fiscal impact on small
enterprises over a six-year period. Using a mixed- methods approach combining GSTN data analysis and
qualitative interviews with SME owners, the authors assessed how tax policy shifts have influenced
profitability, cash flow and formalization.
The paper finds that while observance of tax requirements has improved steadily due to automated systems and
increased awareness, the financial burdens of frequent rate changes and delayed refunds remain critical issues
for smaller firms. Profitability for compliant SMEs improved post 2021 due to digital credit system.
Gaps in the Existing Literature
The literature on the Goods and Services Tax (GST) in India provides valuable insights into its design,
implementation, and economic impact. However, notable gaps remain, particularly concerning how small and
medium-sized enterprises (SMEs) have adapted during the pre- implementation, implementation, and post-
implementation phases of GST. Although macroeconomic and institutional aspects have been widely explored,
the specific challenges faced by SMEs ,particularly those in semi-urban and rural areas, have not been
sufficiently addressed.
Pre-Implementation Phase: The pre-implementation literature largely revolves around the theoretical
framework of GST and its anticipated benefits, such as tax simplification and the unification of India’s
fragmented indirect tax structure (Bagchi, 2006; Chakraborty & Rao, 2010). However, limited research has
been conducted on the technological readiness of SMEs to adopt GST’s digital requirements. Studies by Garg
(2010) and Sharma et al. (2010) discuss ERP systems and cloud computing as potential solutions but do not
adequately assess how SMEs, particularly those in rural and semi-urban areas, can integrate these systems. There
is a notable gap in understanding the digital capabilities of smaller enterprises in these regions, which is crucial
for effective GST adherence.
Implementation Phase:
During the GST rollout from 2017 onwards, research as Namasivayam et al. (2017) and Bhatia (2017)
highlights the difficulties businesses faced with technical glitches, regulatory complexities, and changes in filing
procedures. However, these studies do not delve deeply into the sector-specific challenges and the diverse
regional impacts of GST.While Kandaetal.( 2018) explore the rural economy’s struggles with GST in Himachal
Pradesh, there is insufficient focus on how small businesses in other rural or semi-urban regions with limited
digital literacy and infrastructure adapted to the reform. Additionally, informal enterprises, which often lack the
resources to transition to a digital tax system, have not been adequately examined in the existing literature.
Post-Implementation Phase: In the post-implementation phase, studies such as Sury (2019) and Jacob (2019)
evaluates the long-term effects of GST on SMEs, particularly in terms of tax simplification and adherence.
However, ongoing issues such as delayed refunds, frequent changes in tax rates, and cash flow disruptions remain
underexplored. The Composition Scheme, designed to reduce tax-related burdens for SMEs, has not been
critically assessed for its practical limitations and real-world effectiveness. Furthermore, there is a lack of
research on regional disparities, particularly in states with high consumption rates, which is essential for
understanding GST’s varying impact on businesses across India.
Page 276
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
While the literature offers broad insights into GST’s impact but lacks focus on the unique challenges faced by
small businesses in rural and semi-urban areas.
Targeted research on sector-specific issues, regional implementation differences, and government support for
SMEs is needed to better understand GST’s practical effects.
Research Objectives and Research Methodology
1. To assess how prepared local businesses are in using digital tools for GST and whether they receive
adequate guidance or support in the process
2. To examine how GST has influenced business owners’ decision- making, discipline, and long-term
approach to business operations.
The analysis follows the same Likert scale structure and scoring method. Respondents were asked to indicate
their agreement with six behavioural statements linked to GST- triggered changes.
While much of the existing research on GST implementation has concentrated on urban and industrial
businesses, there has been limited attention given to the difficulties faced by small businesses in less- developed,
semi-urban, and rural contexts.
This study is important for the following reasons:
1. Filling the Research Gap: Existing literature largely overlooks the unique challenges faced by small
enterprises in semi-urban areas. This research aims to address this gap by focusing on Rampur Bushahr.
2. Understanding Localized Challenges: Small businesses in semi- urban areas frequently operate in
environments that lack professional advisory services. This study will explore these obstacles in detail.
Selecting a suitable study area is essential to ensure that the research findings are contextually relevant and
practically meaningful.
For this study, Rampur Bushahr, a sub-divisional town in the Shimla district of Himachal Pradesh, has
been chosen as the focal point. The region offers a unique combination of geographic remoteness and economic
activity, making it a valuable location for understanding how small enterprises have adapted to the Goods and
Services Tax (GST).
Research Design
This study adopts a descriptive and exploratory research design to critically examine the challenges of meeting
GST obligations among small enterprises in Rampur Bushahr.
To this end, a mixed-methods framework has been employed integrating quantitative and qualitative
methodologies. To enrich the findings and add depth to the quantitative results, qualitative data were gathered
through:
● Field visit to business establishments.
● Informal interviews with busines owners and staff
● Direct observations of operational and digital practices
These interactions provided insight into the lived experiences of entrepreneurs, highlighting specific regulatory
challenges, adaptive responses, and perceived barriers to digital adoption.
The analysis of the data collected in this study has been conducted using a combination of basic quantitative
tools and qualitative insights, ensuring clarity, reliability, and ease of interpretation. Given the structured nature
Page 277
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
of the questionnaire and the judgmental sampling approach focused on GST-registered small enterprises, the
following tools and techniques were used
Descriptive statistical techniques were employed to summarize the collected data and present key trends in a
meaningful way.
Measures such as frequency counts, percentages, and averages were used to understand Digital Adoption,
Technical Challenges and Access to GST Support
Data Analysis and Interpretations:
Business Profile of Respondents
1. Classification Based on Nature of Business Activity
Table1.1:DistributionofRespondentsbyTypeofBusinessActivity
BusinessType
Frequency(n)
Percentage(%)
Grocery\Generalstore
17
17%
Clothing&Footwear
25
25%
Electronics&Mobilestore
11
11%
Medicalstore&pharmacy
2
2%
Food service(Hotel, Dhaba, Café, Juice Corner)
8
8%
Hardware\Paint
3
3%
Agro Dealer(Fertilizers,Seeds, Equipment)
2
2%
WholesalersupplierandDistributor
3
3%
Services (Tailoring, Salon, Printing, Coaching,
Courier, Repairs, etc.)
11
11%
Manufacturing\Processing
2
2%
Other
16
16%
Total
100
100%
Note on Calculation: Percentage values for each response were calculated using the standard formula:
Percentage=(Frequency/TotalRespondents)x100
Page 278
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Figure1.1:Sector-wiseDistributionofBusinessActivities
Interpretation:
The business types in the study are quite diverse, with the largest share(25%) in clothing and footwear, followed
by grocery and general stores at 17%. Electronics and mobile shops make up 11% while service-oriented
businesses like tailoring, salons, printing, and repairs also account for 11%. Other sectors include food services
(8%), hardware and paint (3%), wholesalers and distributors (3%), medical store and pharmacies (2%), agro
dealers (2%), and manufacturing or processing units (2%). Additionally,16% fall under various other categories.
This distribution highlights a mix of retail, service, and small-scale manufacturing businesses in the sample
Participation In GST Training or Guidance Sessions
Table2.1:Participation in GST Training or Guidance Sessions
Response
Frequency(n)
Percentage(%)
Yes
37
52.85%
No
33
47.15%
Total
70
100%
Page 279
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Figure2.1:ParticipationinGSTAwarenessorTrainingSessions
Interpretation:
The data shows that 37 out of 70 enterprises (52.85%) have attended GST- related training or guidance sessions,
while 33 (47.15%) have not. This indicates that although more than half of the respondents engaged in some
form of GST awareness or learning, a significant portion still lacks formal exposure to GST training.
3.Frequency of Technical Issues with GST portals and Related Systems
Table3.1:Experience of Technical Issues While Using GST Portals
Frequency(n)
Percentage(%)
8
11.43%
34
48.57%
22
31.43%
6
8.57%
70
100%
Page 280
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Figure3.1:FrequencyofTechnicalIssuesWhileUsingGSTSystems
Interpretation:
The data reveals that 48.57% of respondents sometimes face technical issues on GST portals, while 11.43%
experience them frequently and 31.43% experience issues rarely. Only 8.57% have never faced any problems.
This indicates that while serious disruptions are not widespread, occasional to rare technical challenges remain
common, potentially affecting filing efficiency and the ease of managing GST obligations digitally for many
small enterprises.
4.Digital Platforms &Tools used for managing GST tasks, business records, and payments
Table 4.1:Use of Digital Tools for Business and GST-Related Activities
Digital Tools/Platform
Frequency(n)
Percentage (%)
GST Billing/Accounting Software
22
31.43%
UPI/payment apps (PhonePe, Google Pay, etc.)
16
22.86%
Inventory/Stock Tracking Tools
7
10%
Online filing portals (Clear Tax, Khatabook,
etc.)
4
5.71%
Both A and B
20
28.57%
Other
1
1.43%
Total
70
100%
Page 281
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Figure4.1:DigitalToolsUsedforGSTandBusinessOperations
Interpretation:
Amongrespondents,31.43%useGSTbilling/accounting software ,making it most common digital tool. UPI and
payment apps follow with 22.86%, usage, indicating wide adoption of cashless transactions. Notably, 28.57%
of respondents use both billing software and UPI apps together, reflecting a growing trend towards essential
digital tools. Inventory tracking tools (10%) and online filing portals (5.71%) remain less common. Only 1.43%
mentioned using any other tools.
Modification made to Billing or Documentation Systems after GST Implementation
Table5.1:ChangeinBillingorDocumentationSystemsPost-GST
Response
Frequency(n)
Percentage(%)
Yes
51
72.86%
No
12
17.14%
Planning to soon
7
10%
Total
70
100%
Figure5.1:Change in Billing/ Documentation Systems in GST Implementation
Interpretation
Page 282
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
This data shows that 72.86% of enterprises have modified their billing or documentation systems after GST
implementation, while 17.14% made no changes and 10% plan to update soon. This indicates that GST has
prompted a significant shift towards formalized and structured record-keeping, with most businesses adopting
digital or compliant systems to meet invoice,return, and audit requirements.
Impact of Digital Tools on Visibility and Control over Business Operations
Table6.1:Impact of Digital Tools on Business Visibility &Control
Response
Frequency(n)
Percentage(%)
Significantly Improved
22
31.43%
Some Improvement
42
60%
No ChangeNoticed
6
8.57%
Not Applicable
0
0%
Total
70
100%
Figure6.1:ImpactofDigitalToolsonBusinessManagement
Interpretation:
A large majority (60%) observed some improvement ,while31.43% reported significant improvement, indicating
that over 90% of respondents experienced a positive change. Only 8.57% noticed no change, and none selected
“Not Applicable,” suggesting that the question was relevant to all participants and the impact was largely
positive.
Page 283
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Awareness and Access to Government GST Support
Table7.1: Awareness and Access to Government GST Support
Response
Frequency(n)
Percentage(%)
Yes
55
78.57%
No
9
12.86%
Not aware of any
6
8.57%
Total
70
100%
Figure7.1:Awareness and Accessibility of Government GST Support
Interpretation:
The data shows that 78.57% of respondents are aware of and have accessed government – provided GST support,
while 12.86% have not and 8.57%were not aware of any related information, suggesting that while awareness is
high overall, there’s still a small segment with limited exposure or understanding.
Effect of Digital Systems on Business Record Maintenance
Table 8.1: Impact of Digital Systems on Record Maintenance
Response
Frequency(n)
Percentage(%)
Yes
60
85.71%
Page 284
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
No
1
1.43%
Tosomeextent
9
12.86%
Total
70
100%
Figure8.1:Effect of Digital Systems on Business Record Management
Interpretation:
The data shows that 85.71% of respondents believe digital systems have improved their record maintenance,
while 12.86% observed partial improvements and only 1.43% saw no benefits indicating that disagreement or
rejection of the idea is extremely rare among participants.
Strategic Mindset and Behavioural Shifts Triggered by GST - (Likert Scale Analysis)
Table9.1:Frequency of Responses (26to31)
Sr.No.
Statements Summary
SA
(5)
A (4)
N (3)
D (2)
SD (1)
Total
Frequency
26
Adjusted time and
administrative routines to align
with GST-related tasks
6
54
9
1
0
70
27
Developed a stronger sense of
responsibility due to the risk of
penalties or notices
2
31
30
7
0
70
28
Adopted a more organized and
professional business approach
since GST implementation
8
0
24
8
0
70
Page 285
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
29
Reconsider or delayed business
expansion plans due to GST-
related factors
1
25
34
10
0
70
30
Became more consistent in
reviewing financial records and
maintaining documentation
6
38
23
3
0
70
31
Believe that GST supports a
more transparent and efficient
national business environment
11
37
16
6
0
70
Figure9.1: Response Category Distribution(26to31)
InterpretationforTable922andFigure9.1:-
Table 9 and Figure 9.1 present the behavioural impact of GST on business practices. A large majority (60 out of
70) reported adjusting their routines to meet GST tasks (26), showing improved time discipline. Many
respondents agreed they have become more responsible due to the risk of penalties (27), though 30 remained
neutral. The adoption of more professional approach (28) and increased review of records (30) also received
strong agreement, reflecting a shift in operational behaviour. Responses to statement 29 were more neutral,
indicating mixed influence of GST on expansion decisions. Notably, 48 respondents agreed that GST supports
a more transparent and efficient business environment (31).
Overall, the data suggests GST has led to improved discipline, awareness, and operational maturity among small
business owners.
Table9.3:Mean Score Calculation and Interpretation(26to31)
Sr.No.
Mean Score Calculation
Mean
Interpretation
26
(6 x5)+(54 x4)+(9x 3)+(1 x2)+(0x1)/70=275/70
3.93
Moderate
Agreement
27
(2x5)+(31x4)+(30x3)+(7x2)+(0 x1)/70=238/70
3.40
Slight Agreement
Page 286
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
28
(8x5)+(30x4)+(24x3)+(8x2)+(0 x1)/70=248/70
3.54
Moderate
Agreement
29
(1x5)+(25x4)+(34x3)+(10x2)+(0 x1)/70=227/70
3.24
Slight Agreement
30
(6x5)+(38x4)+(23x3)+(3x2)+(0 x1)/70=257/70
3.67
Moderate
Agreement
31
(11x5)+(37x4)+(16x3)+(6x2)+(0 x1)/70=263/70
3.76
Moderate
Agreement
Figure9.4:Comparing Mean Scores(26to31)
InterpretationforTable9.323andFigure9.4.:-Table4.23andFigure
9.3 present the mean score analysis of behavioural changes observed among GST-registered enterprises. The
highest agreement was recorded for adjustments in time management and administrative routines (26, Mean =
3.93), indicating that GST has strongly influenced how businesses structure their daily operations.
Most of the remaining statements reflect moderate agreement, including those related to professionalism (28,
Mean = 3.54), routine financial review (30, = 3.67), and transparency in business conduct (31, Mean = 3.76).
These scores suggest that GST has played a significant role in encouraging more accountable and process-
oriented behaviour among business owners.
However, statements on responsibility (27, Mean = 3.40) and business expansion decisions (29, Mean = 3.24)
fall within the neutral range ,reflecting mixed perceptions or variability based on firm size, readiness, or industry.
Overall, the mean values reflect a positive behavioural shift driven by GST - particularly in discipline,
compliance, and record maintenance through the extent of agreement varies across different aspects of business
adaptation.
Page 287
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
CONCLUSION
The analysis of the statements ranging from 26 to 31 indicates that GST has had a moderate yet positive
behavioural impact on small business owners. The highest mean score 3.93 for (26) suggests that respondents
have made significant adjustments in administrative routinesand time discipline as a result of GST-related
requirements. Similarly, statements regarding professional conduct (28, Mean = 3.54), financial monitoring (30,
Mean = 3.67), and transparency in business practices (31, Mean = 3.76) reflect a strong trend toward structured
and accountable business behaviour. However, areas like personal responsibility (27, Mean = 3.40) and business
expansion decisions (29, Mean = 3.24) fall within the neutral range, suggesting that while some enterprises have
internalized behavioural shifts, others remain cautious or unaffected in these aspects.
Overall, the response suggests that GST has encouraged a shift toward discipline and professional awareness,
though the degree of impact varies across behavioural domains. The data highlights the role of GST not only asa
tax reform but also as a catalyst for behavioural transformation in business practices.
BIBLIOGRAPHY
Author-BasedAcademicReferences:
1. Bagchi, A. (2006). Towards GST: Choices and trade-offs. National Institute of Public Finance and
Policy.
2. Bhatia, S.(2017).Macroimpact:WilltheGSTthreatenthesurvival of MSME? International Journal of
Research in Finance and Marketing.
3. Chakraborty,P.,& Rao,P.K.(2010).Goodsandservices tax in India: An assessment of the base. Economic
and Political Weekly.
4. Garg, K. (2019). GST and Indian fiscal federalism: The relevance and the implications. Journal of Public
Finance & Policy.
5. Garg, P. (2010). Critical success factors for ERP implementation in Indian retail industry: An exploratory
study. Journal of Enterprise Information Management.
6. Jacob, D. (2019). Two years of GST and ease of doing business for MSMEs: Hits outweigh misses.
Business Standard Research Paper.
7. Jain,G.,&Ansari,K.(2015).ImpactofGSTonIndianstart-ups.
International Journal of Managementand Commerce Innovations.
8. Joseph,K.J.,& Kumary,L.A.(2023).India’sGSTparadigmand
9. the trajectory of fiscal federalism: An analysis with special referenceto Kerala. Economic and Political
Weekly.
10. Kanda, R., Handa, H., & Bhalla, G. S. (2018). Impact of GST on rural economy – A study of urbanized
sector in Himachal Pradesh. InternationalJournalofRuralDevelopmentandManagement Studies.
11. Kumar, N. (2014). Goods and services tax (GST) in India: A way forward. Global Journal of
Multidisciplinary Studies.
12. Menon, P., & Tiwari, A. (2024). Evaluating the long-term fiscaleffects of GST on Indian small
enterprises. Indian Journal of Economics and Business.
13. Mohan, V., & Ali, S. (2018). Assessment of the implications of GST rollout on Indian MSMEs.
International Journal of Research in Humanities and Social Sciences.
14. Namasivayam, S. P. A. P., & Ramprakash, S. (2017). Impact of GSTin India. International Journal of
Applied Research.
15. Rajaraman,I.(2015).ChallengesindesigningaGSTforIndia.
Economic and Political Weekly.
16. Shaik, S., Sameera, S. A., & Firoz, S. C. (2015). Does goods and services tax (GST) lead to Indian
economic development? IOSR Journal of Business and Management.
17. Sharma, C. K. (2022). Concessionary federalism in a dominant party system? Indirect tax reforms and
sub national acquiescence in India. The Journal of Federalism.
18. Sharma, M., Shweta, & Rajeev. (2010). Scope of cloud computing for SMEs in India. International
Journal of Computer Applications.
19. Shankar, R. (2017). GST: Impact and implications on various industries in Indian economy. International
Page 288
www.rsisinternational.org
INTERNATIONAL JOURNAL OF LATEST TECHNOLOGY IN ENGINEERING,
MANAGEMENT & APPLIED SCIENCE (IJLTEMAS)
ISSN 2278-2540 | DOI: 10.51583/IJLTEMAS | Volume XV, Issue V, May 2026
Journal of Trade and Global Markets.
20. Sury,M.M.(2019).GSTandmicro,smallandmediumenterprises.
21. NewCenturyPublications.
22. Verma, R., & Reddy, A. (2018). GST implementation in India: Challenges and early outcomes. Indian
Journal of Economics and Development.
GovernmentandInstitutionalSources:
23. CBIC (Central Board of Indirect Taxes and Customs). Basic information and updates about GST rules
and structure.Retrievedfrom: https://cbic-gst.gov.in
24. GST Portal. Generalguidelines, return filing details, andtaxpayerhelp topics.Retrieved from:
https://www.gst.gov.in
25. Goods and Services Tax Network (GSTN). Digital platform for GST registration, return filing, and
compliance. Retrieved from: https://www.gstn.gov.in
26. Startup India. GST benefits and guides forsmall businesses. Retrieved from:
https://www.startupindia.gov.in
27. Google search. Used for background research, cross-verification, and sourcing additional GST
information. Retrieved from:
https://www.google.com