Yak What Is Goods As Well As Services Revenue Enhancement (Gst) : Highlights
Goods in addition to Services Tax (GST)
The regime is going to coil out the Goods in addition to Services Tax (GST) from tomorrow (1st July 2017). Being the major footstep inward Indian Economy, the GST has became the most discussed theme nowadays. So yous sure as shooting volition larn questions nearly GST inward your upcoming competitive exams (especially banking exams). So hither is a quick stance on GST inward questions in addition to answers format. Happy Reading :)
What is Goods in addition to Services Tax (GST) ? 
Article 366 (12A) of the Constitution equally amended past times 101st Constitutional Amendment Act, 2016 defines the Goods in addition to Services taxation (GST) as a tax on provide of goods or services or both.
GST is a finish based taxation on consumption of goods in addition to services.
In a nutshell, only value improver volition move taxed in addition to burden of taxation is to move borne past times the concluding consumer.
Why was the Constitution of Republic of Republic of India amended inward the context of GST ?
Currently, the financial powers bet-ween the Centre in addition to USA are clearly demarcated inward the Constitution amongst almost no overlap betwixt the respective domains. The Centre has the powers to levy taxation on the industry of goods. While USA own got the powers to levy taxation on the sale of goods. In the representative of Inter-State sales, the Centre has the mightiness to levy a taxation (the Central Sales Tax) but, the taxation is collected in addition to retained exclusively past times the States. As for services, it is the Centre lonely that is empowered to levy service tax.
Introduction of the GST required amendments to the Constitution then equally to simultaneously empower the Centre in addition to USA to levy in addition to collect this tax. The Constitution of Republic of Republic of India has been amended past times the Constitution (One Hundred in addition to First Amendment) Act, 2016 for this purpose. Article 246A of the Constitution empowers the Centre in addition to USA to levy in addition to collect the GST.
What are the benefits which the Country volition accrue from GST ?
Introduction of GST would move a real pregnant footstep inward the plain of indirect taxation reforms inward India. By amalgamating a large number of Central in addition to State taxes into a unmarried taxation in addition to allowing set-off of prior-stage taxes, it would mitigate the sick effects of cascading in addition to pave the agency for a mutual national market.
For the consumers, the biggest gain would move inward price of a reduction inward the overall taxation burden on goods, which is currently estimated at 25%-30%. Introduction of GST would likewise brand our products competitive inward the domestic in addition to international markets. Studies demonstrate that this would at nowadays spur economical growth.
There may likewise move revenue gain for the Centre in addition to USA due to widening of the taxation base, increase inward merchandise volumes in addition to improved taxation compliance. Last but non the least, this tax, because of its transparent character, would move easier to administer.
What would move the component subdivision of GST Council ?
H5N1 GST Council would move consti-tuted comprising the Union Fina-nce Minister (Who volition move the Chairman of the Council), the Min-ister of State (Revenue) in addition to the State Finance/Taxation Ministers to brand recommendations to the Union in addition to USA on diverse issues.
How volition decisions move taken past times GST Council ?
The Constitution (One Hundred in addition to First Amendment) Act, 2016 provides that every determination of the GST Council shall move taken at a coming together past times a bulk of non less than 3/4th of the weighted votes of the members acquaint in addition to voting. The vote of the Central Government shall own got a weightage of 1/3rd of the votes cast in addition to the votes of all the State Governments taken together shall own got a weightage of 2/3rd of the full votes cast inward that meeting. One one-half of the full number of members of the GST Council shall flora the quorum at its meetings.
Who is liable to pay GST nether the GST regime ?
Under the GST regime, taxation is payable past times the taxable individual on the provide of goods and/or services. Liability to pay taxation arises when the taxable individual crosses the turnover threshold of Rs.20 lakhs (Rs.10 lakhs for NE & Special Category States) except inward sure specified cases where the taxable individual is liable to pay GST fifty-fifty though he has non crossed the threshold limit.
What is HSN ?
HARMONISED SYSTEM OF NOMENCLATURE(HSN)code shall move used for classifying the goods nether the GST regime.
What is GSTN in addition to its component subdivision inward the GST regime ?
GSTN stands for Goods in addition to Service Tax Network (GSTN). H5N1 Special Purpose Vehicle called the GSTN has been gear upward to cater to the needs of GST. The GSTN shall provide a shared information technology infrastructure in addition to services to Central in addition to State Governments, taxation payers in addition to other stakeholders for implementation of GST.
B. Srinivasa Rao
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