Goods And Services Tax GST

Introduction

GST is known as the Goods and Services Tax. It is an indirect tax that has replaced many indirect taxes in India, such as the excise duty, VAT, service tax, etc. The Goods and Services Tax Act came into effect on 1st July 2017.

In other words, Goods and Services Tax (GST) is levied on the supply of goods and services. Goods and Services Tax Law in India is a comprehensive, multi-stage, destination-based tax that is levied on every value addition. After subsuming the majority of indirect taxes, GST is a single domestic indirect tax law for the entire country.

Type of GST:

1. CGST: For intra-state sales (within the same state), collected by the central government.
2. SGST: For intra-state sales (within the same state), collected by the state government.
3. IGST: For inter-state sales (between different states), collected by the central government and shared

Tax rate under GST:

GST in India is levied under a multi-tier tax rate structure depending on the type of goods or services. As of now, there are four main GST tax slabs:

Standard GST Tax Rates