GST – A Unified Tax System

GST is a comprehensive, destination-based indirect tax levied on the supply of goods and services across India. Introduced on July 1, 2017, GST subsumed a range of previous indirect taxes like VAT, service tax, and excise duty. It is structured in four main types: CGST, SGST, IGST, and UTGST, depending on the nature of the transaction. GST simplifies tax compliance, reduces the cascading effect of taxes, and promotes ease of doing business by creating a single national market.

Key Benefits of GST

GST offers several advantages for businesses and consumers alike. It brings uniformity in tax rates, eliminates tax-on-tax, and reduces the overall cost of goods and services. Businesses benefit from simplified compliance via the GST portal, faster logistics due to reduced border checks, and input tax credit across the supply chain. Consumers enjoy more transparency in pricing and a streamlined tax structure. GST has also boosted government revenue and formalized the economy.
 

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