The document discusses Goods and Services Tax (GST) implemented in India in 2017. It provides definitions of GST as a single, indirect tax replacing existing indirect taxes. It outlines key differences between the current and GST tax systems, including the GST structure and rates applied to various goods and services. Excluded products are also mentioned. The effects of GST implementation on the economy according to the government are summarized, along with some concerns people had after its introduction.

1. GSt
BY
MADHU
171FC01085
MADHUSAINATH.Y2017@GMAIL.COM

2. CONTENTS
GST Meaning
How GST different from current system
GST structure
Which are the products excluded from GST tax
GST tax rates in india and items come from each tax rate
Illustration for GST
GST Global Scenario
Which Central Tax and State Tax would be subsumed
Government tell on implementation of GST
Present people of india was thinking on GST

3. GST Meaning
GST (Goods and Service Tax is a single rate is levied on the
manufacturer, sale and consumption of goods and services at national
level
In this system, GST is levied only on the Value-added at every
stage of production. This will ensure that there is no cascading
effect of taxes (tax on tax paid) on inputs that are used in
manufacturing of goods.
GST is an Indirect tax which was introduced in India on 1 July
2017 with an amendment to constitution
chairman for GST council was finance minister of india.

4. How GST is different from current system
Current system GST Systm
Nature of regime A Combination of Value-added tax (VAT) Tax incidence at point of sale.
which is destination –based tax and origin-
based taxes such as excise duty etc.
Tax base Goods and services are taxed separately, comprehensive based of goods and services
subject to some exemptions. service included.
Multiplicity of tax Multiple tax rates single tax rate at different slabs.
rates
Tax cascading Incomplete set of mechanism for tax Complete set-off should be available in the
paid in the supply chain entire chain of production and distribution
to eliminate tax cascading effect

5. GST Structure
GST
Centre GST
State GST Dual GST
GST to be levied
by the centre
GST to be levied
by the state
GST to be levied by the state
and the centre concurrently

6. Which are product excluded from the GST tax
• Crude oil products
• Alcohol
• Electricity

7. GST tax rates in india and items come from each tax rate
No tax(0%): Goods like Jute, fresh meat, fish chicken, eggs, milk, butter milk, curd, natural honey,
newspapers, bangles, handloom, fresh fruits and vegetables etc., Services like Hotels and lodges with
tariff below Rs 1,000,
5% tax rate: items like packaged food items, footwear below Rs 500, cream, skimmed milk powder,
branded paneer, frozen vegetables, coffee, tea, spices, pizza bread, rusk, sabudana, kerosene, coal,
medicines, stent, lifeboats, Cashew nut, Cashew nut in shell, Raisin, Ice and snow, Bio gas, Insulin,
Agarbatti, Kites and etc., sevices like Transport services (Railways, air transport), small restaurants.
12% tax rate: items like Apparel above Rs 1000, frozen meat products , butter, cheese, ghee, dry
fruits in packaged form, animal fat, sausage, fruit juices, Bhutia, namkeen, Ayurvedic medicines, tooth
powder, agarbatti, colouring books, picture books, umbrella, sewing machine, cellphones, Ketchup &
Sauces, All diagnostic kits and reagents, Exercise books and note books etc., services like State-run
lotteries, Non-AC hotels, business class air ticket, fertilisers, Work Contracts .t
18% tax rate: items like costing more than Rs 500, Trademarks, goodwill, software, Bidi Patta,
Biscuits (All categories), flavoured refined sugar, pasta, cornflakes, pastries and cakes, preserved
vegetables, electronics etc., services like AC hotels that serve liquor, telecom services, IT services,
branded garments and financial services

8. 28% tax rate : goods like Bidis, chewing gum, molasses, chocolate not containing cocoa, waffles and wafers coated with
chocolate, pan masala, automobiles, motorcycles, aircraft for personal use etc., Services like Private-run lotteries authorized
by the states, hotels with room tariffs above Rs 7,500, 5-star hotels, race club betting, cinema etc.,
GST they have some cess on goads and services
• Luxury vehicles: 5%
• Mid-range cars: 45%
• Large cars: 48%
• SUV vehicle: 50%

10. GST Global Scenario

11. Which Centra;l Tax and State Tax would be subsumed
Central taxes:
• Excise duty
• Service tax
• Central vat
State taxes:
• Value added tasx (Vat)
• Octroi
• Luxury tax
• Entertainment tax collected by states

12. Government tell on implementation of GST
• Increase in GDP
• Decrease in price of commodity
• Benefit to consumers in price decrease
• Increase in competition between producers
• Increased in revenue to government
• Reduction in cost of production
• Same quality and reduction price to consumers

13. Present people of india was thinking on GST
• GDP decreased to 7.5 -5.7
• Increase in price of goods
• It is not help to small industries
• It is not understand to any individual where the prices are increased or
decreased
• Lot of people was no aware of GST taxes
• Sellers was cheat the consumers on not have the gst tax have and tell it then
increase the prices