GST

GST

Goods and Services Tax (GST) is India’s biggest indirect tax reform in decades.

GST will integrate India into one common market by removing the various tax and fiscal barriers between the states. Goods and Services Tax (GST), as the name suggests will be tax levied on goods and services during the point of sale or rendering of service. GST will be applicable for all goods and services, expect the exempted class of goods and service. Having passed various stages, the GST regime in India is now set to roll out from 1st July, 2017

Levy of GST

Both the Central Government and State Governments would simultaneously levy GST across the value chain. GST levied and collected by the Central Government would be Integrated Goods and Services Tax (IGST) and the State Governments would levy and collect (SGST) on transactions within the State. Under GST, both the IGST and CGST would become payable at the “time of supply”, as defined in the GST Law. In terms of goods, time of supply would be on removal of goods or receipt of payment or issuance of invoice or date on which the buyer shows receipt of goods. For services, time of supply is on issuance of invoice or receipt of payment or date on which recipient shows receipt of services.

Integrated Goods and Services Tax (IGST)

Integrated Goods and Services Tax is a tax levied on the supply of any goods or services in the course of inter-state trade or commerce. IGST would be applicable to all of India.

Goods and Services Tax (GST) is India’s biggest Indirect tax reform in decades.

GST will integrate India into one common market by removing the various tax and fiscal barriers between the states. Goods and Services Tax (GST), as the name suggests will be tax levied on goods and services during the point of sale or rendering of service. GST will be applicable for all goods and services, expect the exempted class of goods and service. Having passed various stages, the GST regime in India is now set to roll out from 1st July, 2017.

Levy of GST

Both the Central Government and State Governments would simultaneously levy GST across the value chain. GST levied and collected by the Central Government would be Integrated Goods and Services Tax (IGST) and the State Governments would levy and collect (SGST) on transactions within the State. Under GST, both the IGST and CGST would become payable at the “time of supply”, as defined in the GST Law. In terms of goods, time of supply would be on removal of goods or receipt of payment or issuance of invoice or date on which the buyer shows receipt of goods. For services, time of supply is on issuance of invoice or receipt of payment or date on which recipient shows receipt of services.

Integrated Goods and Services Tax (IGST)

Integrated Goods and Services Tax is a tax levied on the supply of any goods or services in the course of inter-state trade or commerce. IGST would be applicable to all of India.

State Goods and Services Tax (SGST)

SGST is tax levied under the GST regime on intra-state supplies of goods and services. SGST will be administered by the respective State Government.