GST full form | what is the full form of GST?

GST full form

Goods and Service Tax

The Goods and Services Tax (GST) is an indirect tax levied on the supply of goods and services in India. The GST is levied at every stage of the supply chain but is collected only at the final consumer level.

It is a destination-based tax, which means that the tax is levied on the value of goods and services as they are consumed in each state.

The GST replaces most of the indirect taxes levied by the Central and State governments.

The GST was introduced in India on 1 July 2017, as part of the One Hundred and First Amendment of the Constitution of India.

The constitutional amendment was passed by the Indian Parliament in May 2017 and ratified by more than half of the States in September 2017.

The Constitution of India, under Article 246 and Entry 97 of List 1 of the 7th Schedule, vests power on the Union to levy excise duty as well as entry tax. However, article 246(4) and entry 52 of List II state that a State Legislature can also impose a sales tax on goods other than alcoholic liquor for human consumption. Excise duties are levied by Central Government and collected by the Central Board of Indirect Taxes and Customs (CBIC).

Along with these major indirect taxes like service tax and VAT (Value Added Tax), there were many central government taxes like additional customs duty, special additional duty of customs, etc. As per the 2001-2002 Annual Report of CBIC, 42 different types of Central Excise/CVD had been levied.

The states levied various taxes like purchase tax, turnover tax, etc. on top of VAT. As a result, the Indian taxpayer had to file multiple returns and often had to pay taxes more than once on the same goods or services.

About Global GST:

Several countries worldwide have been working towards the implementation of GST. The first country to implement GST was France in 1954. Today, about 160 countries have adopted the concept of GST with the USA selling it most recently alongside the United Kingdom, Canada, Australia, Vietnam, Singapore, and Spain amongst others.

Many states refer to it as the VAT (Value Added Tax), but most experts agree that a Consumption tax would be more useful as opposed to a tax on goods produced.

Globally, governments have found that enacting the Goods and Services Tax (GST) has been an advantage. In today’s global economy, it’s hard to keep up with all of the taxes that other countries charge to their consumers.

In addition, there are often cases where a company may get taxed even if they don’t sell any of their products or create any jobs in that country, which can be a great deal for both the country and its citizens.

If businesses were not required to collect sales taxes at all times, then it would cause some issues as people would assume that when one is not taxed for making a purchase it is because there are no such requirements.

The last thing you want to do as a business owner is to make your customers feel uneasy about buying from you at all!

Why has GST been implemented in India?

The Goods and Services Tax (GST) is an indirect tax levied on the supply of goods and services in India. The GST is levied at every stage of the supply chain but is collected only at the final consumer level.

It is a destination-based tax, which means that the tax is levied on the value of goods and services as they are consumed in each state. The GST replaces most of the indirect taxes levied by the Central and State governments.

As with many things in life, there is always a tax on taxes. The old way of indirect taxation was just not enough and the people had been waiting for this long-awaited change after years upon years since its implementation at the Central level under Prime Minister Narendra Modi’s administration over three decades ago with his introduction to GST (Goods & Services Tax).

Faster processing time frames facilitate faster transactions while ensuring security via digital signature whenever an input VAT becomes output entitled assets; however such measures only go part+way towards solving problems associated with eCommerce marketplaces.

Before the introduction of GST, there were many different rates in various states which caused confusion among consumers and led to corruption. Now that we have reduced these issues with a nominal tax rate across all India; uniformity throughout our nation has been achieved through this new legislation
Achieving universal harmony is no easy task but one worth striving for because when society can live together peacefully without any form of discrimination – then what motivation does anyone really need? We must work towards bringing unity not only while within ourselves as individuals but also between other groups who may hold differing opinions from ours about how things should be done “outside”

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