What is GST?

Started by ParthRaj | Nov 15, 2018 | 1 Reply
Nov 15 at 17:25
GST is an indirect tax that will be levied on goods as well as services. All the existing state and central indirect taxes will be subsumed under these apart from Customs Duties. It will be applicable throughout the country (except JAMMU and KASHMIR). Under this system, a single product will be taxed at the same rate in every corner of the country meaning that an air conditioner will be taxed the same in Himachal Pradesh as well as Tamil Nadu thus we also refer GST as ONE NATION ONE TAX. However, it does not mean that every item will be charged at the same rate as we cannot charge the same price for AC and salt, food powder. Apparently, the necessities will be levied at a lower rate than the luxuries, but a single luxury product or an individual necessity good will be charged https://123gst.com/ the same rate throughout the country.
Feb 22 at 13:37
GST is a value-added tax on most goods and services that are sold for domestic consumption. GST is charged by buyers, but the firms that market the goods and services are returned to the government. In turn, GST provides the government with revenue. The GST is an indirect federal sales tax applied to the purchase of certain goods and services. The client adds GST to the product price and a customer who purchases the product pays the sales price plus the GST. The GST part is received by the company or retailer and sent to the government. It is also recognised in certain countries as Value Added Tax (VAT). Most GST countries have a single unified GST system, so a single tax rate is imposed across the world. A nation with a single GST structure combines central tax (e.g. sales tax, excise tax and service tax) with state tax (e.g. entertainment tax, entry tax, transfer tax, luxury tax) and collects it as a single tax. The GST program includes tax. Virtually all these countries tax at a single rate. Only a few countries, including Canada and Brazil, have a dual GST program. The federal GST is used, for addition to the State sales tax, compared to a single GST economy where taxes are collected by the federal government and allocated to the states under a dual scheme. For example, in Canada, the federal government collects a 5% tax and some jurisdictions / states levy a provincial state tax (PST), which varies from 7% to 10% .. In this case, there is precisely the GST and PST rate applied to a consumer's receipt for their purchase value. More recently, some provinces have merged GST and PST into one tax called the Harmonized Sales Tax (HST). The HST was first introduced by Prince Edward Island in 2013 and has consolidated federal and provincial sales tax into one single tax. Several other provinces, including New Brunswick, Newfoundland and Labrador, Nova Scotia and Ontario, have since taken over this activity. In 1954 France was the first country to introduce the GST, and since then it has introduced some sort of this tax system to an estimated 160 countries. Some of the GST countries are Canada, Vietnam, Australia, Singapore, Monaco, Spain, Italy, Nigeria, Brazil, Korea and India. You can verify any gst number on findyourgst.

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