IMPACT OF GOODS AND SERVICES TAX (GST) ON BUSINESS OPERATIONS, COMPLIANCE, AND TRADE COMPETITIVENESS: EVIDENCE FROM SMES IN BANGALORE, KARNATAKA

The implementation of the Goods and Services Tax (GST) in India represents a significant structural reform aimed at simplifying the indirect tax regime and promoting economic integration. This study examines the impact of GST on business operations, tax compliance, and trade competitiveness among Small and Medium Enterprises (SMEs) in Bangalore, Karnataka. A quantitative research design was adopted, and primary data were collected from 192 SMEs using a structured questionnaire. Statistical tools such as descriptive statistics, correlation, regression analysis, and ANOVA were employed to analyze the data. The findings reveal that GST has significantly enhanced tax compliance while moderately improving operational efficiency and trade competitiveness. However, the compliance burden and technological challenges continue to hinder SME performance. The study offers policy recommendations to improve GST implementation and support SME growth.