Assessing organizational performance post-GST adoption in India: an application of the UTAUT model with PLS-SEM and IPMA analysis

The Goods and Services Tax (GST) is a substantial fiscal reform that has been adopted globally, not only in India, with the objective of enhancing economic growth and streamlining the taxation system. The purpose of this study is to assess the organizational performance of businesses in India after the adoption of the “Goods and Services Tax (GST)”. The study employed the “Unified Theory of Acceptance and Use of Technology (UTAUT)” model with employee attitude as a moderator. The data was analyzed using “Partial Least Squares Structural Equation Modeling (PLS-SEM)” and “Importance-Performance Map Analysis (IPMA)”. The research identifies the main determinants of GST adoption and its impact on organizational performance, by analyzing data from 420 responses, with an initial outreach to 600 participants using the purposive sampling technique. The structural model results indicate significant positive relationships between performance expectancy, effort expectancy, and facilitating conditions with GST adoption, though social influence was not significant. Furthermore, employee attitude significantly moderates the relationship between GST adoption and organizational performance. Finally, IPMA results highlight employee attitude as the most critical factor, emphasizing the need for positive employee perceptions to enhance GST adoption and organizational outcomes. These findings provide valuable insights for policymakers and businesses aiming to optimize GST implementation strategies, strengthen compliance, and improve organizational performance.