Goods And Services Tax INTRODUCTION TO GOODS AND

Goods And Services Tax INTRODUCTION TO GOODS AND SERVICES TAX

Introduction GST is a transformational tax reform in our country since independence. All the existing indirect taxes being currently levied by central and state government will be subsumed under GST can be termed as “One Tax, One Nation and One market”. GST is a highly compliance driven law

Meaning of goods and services tax Goods and services tax (GST)Bis a system of indirect taxation in India merging most of the existing taxes into single system of taxation GST would be a comprehensive indirect tax on manufacture , sale and consumption of goods and services throughout India, to replace taxes Levied by the central government and state governments.

Objectives of goods and services tax To estimate cascading effect of tax on tax To improve the competitiveness of original goods nd and services thereby improving the GDP rate of the country To ensure the availability of input credit across the value chain To reduce the complication in tax administration and compliance To reduce the tax slab rates to avoid the further clarification issue

Features of goods and services tax CGST and SGST would be levied at rates to be matually agreed upon by the centre and the states Exports would be zero Gst would apply to all goods and services barring a few to be specified Tobacco and tobacco products would be subject to GST. In addition, the centre could continue to levy central Excise duty and the states to levy sales tax or VAT.

Types of assessment under GST Self – assessment Provisional assessment Scrutiny assessment Best judgement assessment Assessment of non – filers of returns Assessment of unregistered persons Summary assessment