Goods and Service tax is very good tax reform it is implemented in order to modernize the tax reforms that are existed within India. GST created the high inflation rate after its implementation, but it is more beneficial in long run. The main objective of this research is to find out the people¿s perception on GST and the impact of GST on the consumers purchasing and savings behavior and the knowledge about the GST. Questionnaire is distributed to the people in Vijayawada in order to know what the reaction of the people about GST is and the data is analyzed in Statistical Package called SPSS and the people of Vijayawada are favorable regarding the GST and the implementation of GST and it has changed the behavior of the consumer regarding the purchasing of goods and their income savings. Keywords: GST, inflation rate, purchasing behavior, savings behavior.