• BHAGIRATH

Goods and Service Tax or GST as it is known is all set to be a game changer for the Indian economy. GST has replaced many Indirect Taxes in India. The concept of VAT is applying a tax only on the value added by each person at each stage; by allowing the person input credit of taxes paid upto his stage of procurement. Thus the tax is expected to reduce the concept of ‘tax on tax’, increase the gross domestic product of the economy and reduce prices. Overall it is known to be beneficial to both the consumer, business and the Government. In India, there are different indirect taxes applied on goods and services by central and state government. GST is intended to include all these taxes into one tax with seamless ITC and charged on both goods and services. Thus excise duty, special additional duty, service tax, VAT to name a few got repealed and added into GST. For this, GST have 3 parts – CGST, SGST and IGST. The central taxes like excise duty is subsumed into CGST and state taxes like VAT into SGST. For the introduction of GST in the above form, the Government needed to get the Constitution Amendment Bill passed so that the proposed objective of subsuming all taxes and allowing states to tax subjects in Union list and vice versa is achieved. Without these powers it was not legally possible to move towards GST. Thus going forward on all transactions of both goods and services, only one tax is applied which is GST comprising of CGST and SGST. IGST is applied instead of SGST for interstate transactions. Input credit of all these taxes is available against all the respective outputs. Conceptually GST is expected to have numerous benefits like reduction in compliances in the long run since multiple taxes are replaced with one tax. It is expected to bring down prices and hence the inflation since it will remove the impact of tax on tax and enable seamless credit. Thus the Constitution Amended Bill is passed the much awaited GST has introduced .Finally The Goods and Service Tax Act was passed in the Parliament on 29th March 2017. The Act came into effect on 1st July 2017.

Direct and Indirect Tax, GST Components, Tax Slab.

"GST : PRE AND POST GST TAX STRUCTURES IN INDIA", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.5, Issue 8, page no.207-211, August-2018, Available :http://www.jetir.org/papers/JETIR1808325.pdf

"GST : PRE AND POST GST TAX STRUCTURES IN INDIA", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.5, Issue 8, page no. pp207-211, August-2018, Available at : http://www.jetir.org/papers/JETIR1808325.pdf