Goods & Service Tax (GST)

The Goods and Services Tax (GST) is a value-added tax imposed on most goods and services sold for domestic consumption. The GST is a comprehensive tax levy on manufacture, sale, and consumption of goods as well as services at the national level. It replaced many indirect taxes imposed by the central and state governments and is intended to make the Indian taxation system simpler and more efficient. GST is levied at every step in the production process, but is refunded to all parties in the various stages of production other than the final consumer. GST is divided into three types: CGST (Central GST), SGST (State GST), and IGST (Integrated GST). CGST and SGST are levied on intra-state sales, while IGST is levied on inter-state sales. GST is expected to bring many benefits to businesses and consumers, including increased efficiency and lower costs.