Goods and Service Tax (GST) must know everyone

Goods and service tax ?

The indirect taxes are included in a single tax called goods and service tax (GST). The central government will charge and collect tax in the form of central goods and services tax (CGST). The state government will charge and collect tax in the form of state goods and services tax (SGST).


Goods and service tax (GST)

Dual GST  ?

 Central GST (CGST) is taxed under the centre on intra-state supply of goods.

The GST to be charged by the State/Union territory is State GST (SGST)/(UTGST).

GST would change the following taxes :

The first we know about the taxes currently charged and collected by the centre :

(a) Special Additional Duty of Customs

(b) Additional Duties of Excise

(c) Central Excise duty

(d) Additional Duties of Customs

(e) Duties of Excise

(f) Central Surcharges and Cesses, Service Tax are involve in the contribute of goods and services.

State taxes have GST that mentioned in below:

(a) Central Sales Tax

(b) State VAT

(c) Entry Tax

(d) Purchase Tax

(e) Entertainment and Amusement Tax

(f)  Luxury Tax

(g) Taxes on lotteries, gambling and betting.

(h) Taxes on advertisements

Input Tax : It comes with a relation to a registered person of procedure such as central tax, integrated tax or union territory tax, sales tax, charged on any goods or services .

Integrated Tax : Integrated goods and service tax charged under the integrated goods and service tax act.

State Tax : It is charged under any state goods and service tax act.

Union Territory tax :

It is charged under the union territory goods and service tax act.

Different kinds of supplies ?

  • Composite and mixed supplies
  • Inter-state and Intra-state supplies
  • Taxable and exempt supplies
  • Zero rated supplies

Payments in GST regime ?

(a) For any inter state charge, tax to be paid is Integrated GST (IGST) and it has both elements of CGST and SGST.

(b) For any intra-state charge, taxes to be paid are (CGST) and it is going to the Central Government. The State/UT GST and it is going to the concerned state government.

(c) Wherever it is applicable, Penalty, Interest and any other payment is required to be made.

The function of GST council

(i) The rates involving floor rates with bands of GST,

(ii) The goods and services are excepted from GST,

(iii) The threshold limit of turnover under which the goods and services may be excepted from GST.

(iv) apportionment of IGST, rules of levy,  model GST laws.

(v)  any special rate or rates for a prescribed term to increase extra resources during any natural disaster or calamity.

(vi) any specific condition with respect to the Jammu &Kashmir, Uttarakhand and Himachal Pradesh, North-East States.

(vii) If any other matter connecting to the GST, as the council may govern.

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