New Delhi, July 6 (KNN) The Goods and Services Tax (GST) that was rolled out from July 1 will provide a level playing field in the country. This will help the Indian Micro, Small and Medium Enterprises compete efficiently, a study reveals.

The study conducted by The Associated Chambers of Commerce and Industry of India (ASSOCHAM) – APAS was conducted with the aim to understand the impacts and implications of the newly introduced tax reform in the country.

According to the study, with the implementation of the One Nation One Tax, the share of industry in the Gross Domestic Product (GDP) is to rise in the next eight to nine years. It is being projected that the industry would be contributing up to 280 billion dollars by 2025.

Elaborating on the GST and its role in strengthening the MSME sector in the country, the study observed that since the GST unifies the taxation, it would be easier for the MSMEs to operate.  It further added that due to the GST, Indian MSMEs will be able to compete in International market as it can now face the competition with countries including China, Philippines and Bangladesh.

Apart from the GST and its implication, the study further noted the relevance of Insolvency and Bankruptcy Code (IBC) and marked it as an important step for the sector in the country. (KNN/ DA)