Presentation on GST - Goods and Serices Tax Appreciated by all the faculties during my VIVA so thought of recycling it by sharing it with you. Hope you find it useful!

1. IMPACT OF GST ON
ELECTRONICS GOODS
Submitted by :
Chetanya Koti

2. Contents
• Acknowledgement
• Introduction
• Impact of GST on Electronics goods
• GST charged on popular electronic goods
• Graphical Representation with conclusions

3. Introduction
Impact of GST on Electronic goods, In simple words, Goods & Services tax law in
India is a comprehensive, multi stage, destination-based tax that will be levied on
every value addition.
In simple words, GST is an indirect tax levied on the supply of goods and services.
GST law has replaced many indirect tax laws that previously existed in India.
There are three applicable taxes under GST:
1. CGST
2. SGST
3. IGST
CGST – Collected by Central Government on an intra-state sale. (Eg: Within
Haryana).
SGST – Collected by State Government on an intra-state sale. (Eg: Within
Haryana).
IGST – Collected by Central Government on an inter-state sale. (Eg: Haryana to
UP).

4. Before GST, tax on tax was calculated and tax was paid by every purchaser
including the final consumer. The taxation on tax is called the Cascading
effect of taxes.
GST avoids this cascading effect as tax is calculated only on the value
addition at each transfer of ownership. GST will improve the collection of
taxes as well as boost the development of Indian economy by removing the
indirect tax barriers between states and integrating the county through a
uniform tax rate.
The GST is governed by a GST Council and its Chairman is the Finance
Minsiter of India. Under GST, goods and services are taxed at the following
rates, 0%, 5%, 12%, 18% and 28%. There is a special rate of 0.25% on
rough precious and semi-precious stones and 3% on gold. In addition a
cess of 15% or other rater on top of 28% GST applies on few items like
aerated drinks, luxury cars and tobacco products.
GST was initially proposed to replace a slew of Indirect taxes with a unified
tax and was therefore set to dramatically replace a slew of Indirect taxes
with a unified tax and was therefore set to dramatically reshape the county’s
2 trillion dollar economy. The rate of GST in India is between double to four
times that levied in other countries like Singapore. It is to be noted that
France was the first country to implement GST.

5. Impact of GST on Electronics goods
• Smartphones
Currently tax of around 13.5% is levied on smartphones, but with GST,
it will come down to 12%. This will make smartphones a bit cheaper than
they are right now.
The components used for making smartphones are also
categorized in the 12% price bracket.

6. • Electronics appliances
All electronics appliances, such as washing machines, refrigerators, vacuum
cleaners, shavers, trimmers, dishwashers, water heater, mixers, toasters,
weighing machines are categorized under 28% GST slab, and their prices
are set to become dearer.

7. • Cameras, speakers, monitors, TVs
A DSLR camera, TV, speakers, computers and monitors will now be levied
a tax of 28%, making them a bit more expensive. Even laptops fall under the
same slab, and their prices are also set to go up marginally.

8. S.No Type of goods GST charged
1. Printers 28%
2. Static Convertors (UPS) 28%
3. CCTV 28%
4. Recorder 28%
5. Set top Box for TV 28%
6. Computer monitors not exceeding
17 inches
28%
7. Electrical Filaments or discharge
lamps
28%
GST charged on popular
electronic goods

9. Smartphones
11
11.5
12
12.5
13
13.5
Before GST
13.5%
After GST
12%

10. Conclusion
• Before GST, tax on Smartphones was 13.5% so the
mobiles
were expensive.
• But after GST was implemented the tax rate on Mobile
phones came out to be was 12%.
• So, From 1st July 2017 all the smartphones have
become cheaper.

11. Electronics appliances
0
5
10
15
20
25
30
Before GST
18
After GST
28

12. Conclusion
• Before GST, tax on Electronics appliances was 18% so
the Electronics appliances were cheaper.
• But after GST was implemented the tax rate on
Electronics appliances came out to be was 28%.
• So, From 1st July 2017 all the Electronics appliances
have become cheaper.

13. Cameras, speakers, monitors etc
0
5
10
15
20
25
30
Before GST
18
After GST
28

14. Conclusion
• Before GST, tax on Cameras, speakers, monitors etc
was 18% so the Electronics appliances were cheaper.
• But after GST was implemented the tax rate on
Cameras, speakers, monitors etc came out to be was
28%.
• So, From 1st July 2017 all the Cameras, speakers,
monitors etc have become expensive.

15. Some facts which tell us more
about the Impact of GST on
Electronic goods

16. • Electronic goods are going to get cheaper except mobile phones. 7% more
tax will be levied on mobile phones. TV, fridge, washing machines,
Vacuum cleaner, dish washer, mixer-grinder, dryer, electric heater, video
game consoles will get cheaper.
• The Indian Electronics industry welcomes the proposed moved towards
the gst regime as the same will bring the new era in the indirect taxation
landscape of modern India, paving the way for a simplified tax structure
for goods and services. GST will eliminate multiple levies. It will also
allow deeper penetration of digital services.
• With GST promising to make GDP better by 2% while the services get
expensive, it looks like a mixed bag for most of us.
• Most electronic items including coolers, fans, LED TV's, water heaters,
lighting could get cheaper

17. • The long-awaited Goods and Service Tax (GST) bill all set to roll out
from 1st July 2017. The effect of GST on the common man is going to be
massive.
• GST will change the present system of production based taxation to a
consumption based one. Under GST service provider and his customer
should be in a position to claim full credit of GST. This will provide an
opportunity to service provider to take benefit of the tax efficiency and
recoup additional profits on the supply.Since the final tax structure and
rates of Goods and Service Tax on different products and services are not
released or passed so it is still difficult to predict and say the actual impact
of goods and service tax on different types of products and services.

18. From the seller’s side
• Goods and service tax will prove to be very much beneficial for
electronics manufacturer as due to introduction of GST the ultimate cost of
warehouses and logistics will get reduced and manufacturer will pass on
this cost reduction benefit to the consumers and the ultimate consumers of
electronic products will be benefited.
• Electronic products like Air Conditioner, refrigerator, Television, fan,
cooler, etc. will get cheaper.