what is GST

HELLO FRIENDS WELCOME

Sixteen years in the making, India rolls out the Goods and Services Tax(GST) from July 1, 2017. The Narendra Modi-led government will inaugurate the new indirect tax at the stroke of midnight of June 30 in Parliament.

What is GST?

The GST is meant to be a unified indirect tax across the country on products and services. In the current system, tax is levied at each stage separately by the Union government and the States at varying rates, on the full value of the goods. But under the GST system, tax will be levied only on the value added at each stage. It is a single tax (collected at multiple points) with a full set-off for taxes paid earlier in the value chain.

Thus, the final consumer will bear only the GST charged by the last dealer in the supply chain with set-off benefits at all the previous stages.

THANKS.