GST
GST is a single indirect tax on the supply of goods and services in India.
What does GST replace?
It replaces multiple taxes like VAT, service tax, excise duty, etc.
What is meant by “One Nation, One Tax”?
Same tax system across the entire country.
What type of tax is GST?
Destination-based tax.
What does destination-based mean?
Tax is collected where goods or services are consumed.
What is the biggest benefit of GST?
It removes multiple taxes and simplifies the tax system.
How does GST reduce cost?
By removing tax-on-tax effect.
Why is GST more transparent?
Because it is technology-based and online.
How does GST help the economy?
It improves compliance and increases GDP growth.
Who gets exemption under GST?
Small service providers below the turnover limit.
What is a major challenge of GST?
High compliance and software cost.
Who faced initial difficulty due to GST?
Small and medium businesses.
Which products are still outside GST?
Petroleum products and alcohol for human consumption.
Which central taxes were merged?
Excise duty, service tax, additional duties, cesses.
Which state taxes were merged?
VAT, entertainment tax, luxury tax, entry tax.
Which taxes are not included in GST?
Customs duty, stamp duty, electricity duty, property tax.
What is CGST?
Tax collected by the central government on intra-state supply.
What is SGST?
Tax collected by the state government on intra-state supply.
What is IGST?
Tax on inter-state supply collected by the central government.
What is UTGST?
GST collected in union territories without legislature.
Why do we have CGST and SGST?
To share tax powers between centre and states.
Why is IGST needed?
To avoid confusion in inter-state trade.
Who must register under GST?
Anyone making taxable supply above the threshold limit.
Who is not required to register?
Agriculturists and persons dealing only in exempt goods.
