DIP: 18.02.39/20261101 
DOI: 10.25215/2455/110139 
Abstract
The implementation of the Goods and Services Tax (GST) on 1 July 2017 marked a significant milestone in India’s indirect taxation system by replacing multiple central and state taxes with a unified, destination-based tax structure. GST was introduced with the objectives of simplifying the tax regime, eliminating the cascading effect of taxes, improving tax compliance, promoting transparency, and creating a common national market. The present study critically examines the economic effects of GST in Gujarat State by analyzing its impact on business enterprises and consumers. The study adopts an exploratory and descriptive research design using both primary and secondary data. Primary data were collected from 250 respondents, including manufacturers, wholesalers, retailers, service providers, and consumers across major cities of Gujarat through a structured questionnaire. Secondary data were obtained from government reports, GST Council publications, books, research articles, statutory provisions, and official databases. Statistical techniques such as frequency analysis, mean, standard deviation, skewness, kurtosis, and One-Way ANOVA were employed using SPSS and Microsoft Excel for data analysis. The findings indicate that GST has positively influenced business transparency, digital accounting, tax compliance, and interstate trade while encouraging the adoption of digital payment systems. However, the study also identifies challenges such as increased compliance costs, procedural complexities, frequent amendments to GST provisions, and technological issues faced by small and medium enterprises. From the consumer perspective, GST has enhanced transparency in taxation, although variations in tax rates have affected the prices of certain goods and services. The study concludes that GST has produced an overall positive economic impact in Gujarat State, but further simplification of compliance procedures, taxpayer awareness programmes, technological improvements, and policy stability are essential to maximize its benefits. The findings provide useful insights for policymakers, tax administrators, business enterprises, and researchers concerned with the effectiveness of GST as a comprehensive indirect tax reform in India.
The author(s) appreciates all those who participated in the study and helped to facilitate the research process. 
The author(s) declared no conflict of interest. 
ISSN 2455-670X