2. WHAT IS GST?
It is an indirect tax for the whole nation.
GST is the single tax on the supply of goods
and service right from the manufacturer to
the consumer.
The final consumer will thus bear only the
GST charged by the last dealer in the supply
chain.
3. WHICH OTHER TAXES AT THE CENTRAL AND
STATE LEVEL ARE BEING INCLUDED IN GST?
At CENTRAL level.
Central Excise Duty.
Additional Excise Duty.
Service Tax.
Additional custom Duty
commonly known as
Countervailing Duty.
Additional duties on
customs.
At STATE level.
Includes state value
added tax.
Entertainment Tax.
Octroi.
Purchase Tax.
Luxury Tax.
Taxes on lottery.
4. RATIFICATION
States and union territories of India
that have ratified the Goods and
Services Tax Bill.
Assam (12 August)
Bihar (16 August)[
Jharkhand (17 August)
Himachal Pradesh (22 August)
Chhattisgarh (22 August)
Gujarat (23 August)
Madhya Pradesh (24 August)
Delhi (24 August)
Nagaland (26 August)
Maharashtra (29 August)]
Haryana (29 August)
Telangana (30 August)
Sikkim (30 August)
Mizoram (30 August)
Goa (31 August)
Odisha (1 September)
Puducherry (2 September)
Rajasthan (2 September)
Andhra Pradesh (8 September)
Arunachal Pradesh (8 September)
Meghalaya (9 September)
Punjab (12 September)
Tripura (26 September)
Did not ratify:
Jammu and Kashmir
Karnataka
Kerala
Manipur
Tamil Nadu
Uttar Pradesh
Uttarakhand
West Bengal
5. OBJECTIVES OF GST
The main objective of GST would be to eliminate the
DOUBLY TAXATION i.e. cascading effects of taxes
on production and distribution cost of goods and
services.
The exclusion of cascading effects i.e. tax on tax till
the level of final consumers will significantly improve
the competitiveness of the original goods and
services in market.
Introduction of GST to replace the existing multiple
tax structures of centre and state taxes is not only
desirable but imperative.
G ST, being a destination-based consumption tax
based on VAT principle.
7. RATES OF GST
AUSTRALIA - 10%
FRANCE - 19.6%
CANADA - 5%
GERMANY - 19%
JAPAN - 5%
SINGAPORE - 7%
NEW ZEALAND - 15%
There would be two rate structure– a lower rate fir
necessary items and items of basic importance &
a standard rate for goods in general. A special rate
for precious metals
8. ADVANTAGES AND BENEFITS
Advantages of GST Bill
*Introduction of a GST is very much essential in the emerging environment of the Indian
economy.
There is no doubt that in production and distribution of goods, services are increasingly
used or consumed and vice versa. Separate taxes for goods and services, which is the
present taxation system, requires division of transaction values into value of goods and
services for taxation, leading to greater complications, administration, including co
mpliances costs. In the GST system, when all the taxes are integrated, it would make
possible the taxation burden to be split equitably between manufacturing and services.
GST will be levied only at the final destination of consumption based on VAT principle
and not at various points (from manufacturing to retail outlets). This will help in
removing economic distortions and bring about development of a common national
market.
It will also help to build a transparent and corruption-free tax administration. Presently, a
tax is levied on when a finished product moves out from a factory, which is paid by the
manufacturer, and it is again levied at the retail outlet when sold.
Benefits of GST Bill
*According to experts, by implementing the GST, India will gain $15 billion a year. This is
because, it will promote more exports, create more employment opportunities and boost
