You may have heard the word GST in many places... but have you really read what it is about?


Who knows if they even tax the matches we buy? We pay the blue line for all the items we buy every day.


Why is this GST tax levied everywhere? What is GST? Are there any benefits to this tax? You can see such information here.


What is GST?


Instead of taxes levied on many things in the past, only a single tax, GST, is now levied. The purpose of introducing GST in India is to facilitate business consensus.


GST stands for "Goods and Services Tax." An extension of this is called the Goods and Services Tax.

GST


The GST Tax Act was passed by Parliament on March 29, 2017. This law came into force on July 1, 2017.


This is a value-added tax. Tax avoidance by GST is avoided.


Many taxes are levied to produce and sell a product, including sales tax, service tax, excise tax, entry tax, excise tax, education tax, and VAT.


There is a model taxation practise in every state. In this case, all but one of these taxes is the GST, also known as the Goods and Services Tax.


 


How does GST work?


GST is classified as CGST (Central Goods and Services Tax), SGST (State Goods and Services Tax), and IGST (Integrated Goods and Services Tax).


Federal Government GST (RPG): Revenue will be collected by the Central Government.


State Government GST (Lulu): Revenue from inter-state sales is collected by the state governments.

GST MV InfoTech


Interstate GST (IPU): Revenue from interstate sales will be collected by the central government.


GST Benefits:


◆ The growth rate of GDP is high.


◆ Prevent opportunities for inflation.


◆ Tax profits on goods and services reach      consumers.


◆ The GST rule eliminates the tax on goods, which will reduce the price of goods.


◆ Moreover, GST is mainly technically driven.


◆ All the steps like registration, re-filing, refund application, and response to notifications should be done online on the GST portal. This speeds up the process.