Micro Small and Medium Enterprises (MSMEs) have been considered as the primary growth driver of the Indian economy for decades. It is further evident from the fast that today we have around 36 million MSMEs are generating 80 million employment opportunities contributing 8% of the GDP, 45% of total manufacturing output and 40% of the total exports from the country. The Goods and Services Tax (GST) has already been implemented in the country. The new tax regime provided transparency and certainty in the tax system. The main aim of implementing GST is “One Nation, One Tax and one market.” Globally, it is simple, efficient and will help to improve the economic growth of the country by eliminating a dozen of central and state levies like excise, service and VAT. GST will have both positive and negative effect on MSMEs. This paper look into how GST impact and what are its implications on the MSMEs of the country.

KEYWORDS: GST, MSMEs, GDP, Economic infrastructure, social engineering, ITC, VAT