Want to learn about GST? This guide is for those who want to have basic working knowledge of GST in India? The guide is arranged in a logical manner and scripted in easy-to-understand language.
Also leave your comment in case you have any query, we will try our best to reply. So, let’s get started :)
Also Read: Know everything about composition scheme under GST
What is GST?
Goods and Service Tax (GST) is applicable in India from 1st July 2017. Before 1st July 2017, service tax applies to services and vat, excise duty, etc. apply to goods.
Thus, according to the refurbished contrast, the definition as follow:
- GST is a single, destination based indirect form of tax levied on the value added to goods and services at each stage of the supply series.
- GST stands for Goods and Services Taxes and it is a host of taxes under one-roof that taxpayers pay for all, in once.
According to TaxWink, Goods & Service Tax is a comprehensive, multi stage, destination based tax which is levied on every value addition and we believe it provides significant benefit to the GST enroller.
Advantages/Benefits of GST
The main benefits of GST are -
- Single indirect tax for the whole of India
- Input tax credit can be taken for taxes paid in another state
- Help manufacturer and transporter in easy transfer of goods from one state to another
What are 3 Types of GST?
The GST system in India contains three types of GST. They are -
i) Central GST aka CGST – levied by central government
ii) State GST aka SGST – levied by a state government
iii) Integrated GST aka IGST – levied by the Central government on an inter-state supply of goods and services
And did you know that the applicability of types of GST depends on the type of Goods and Services transaction carried by the business i.e. intra-state and inter-state.
For example; if a dealer carrying intra state i.e. (sale with in same state) then the CGST and SGST applied and on the other hand, if a dealer carrying inter-state i.e. (sale outside state) then the IGST applied.
After reading the basics of Goods and Services Taxes, let’s jump to GST registration in India. Further you’re reading about GST registration services.
Registration Under GST
What is meant by registration under GST?
Well, under the GST law, GST registration means obtaining a unique number from the concerned tax authorities. This number is referred to as GST Identification Number (GSTIN).
But to acquire GSTIN for business or entity there are some basic conditions that your business must meet i.e. Minimum Requirements For Registration
According to section 22 of the CGST Act, 2017, the minimum threshold turnover for GST Registration is Rs 40 Lakhs for goods and Rs 20 Lakhs for services. This means business annual earning must be more than this threshold limit. But for persons having business units in Jammu and Kashmir and North-Eastern states, the minimum turnover threshold is Rs 20 Lakhs.
And those who fall in this GST regime are required to furnish an electronic return every calendar month.
Note: Registered dealers are required to file certain kinds of GSTR Forms (as applicable to their business) periodically.
Also Read: Types of GST Returns and Steps to file GST Return Online
GST Return: What is GST Return and How to File GST Return?
As per the GST law, every dealer (whether composition/regular) registered under GST has to file its return electronically on the GST portal. A GST Return is a document that mentions all details related to GST purchases and Input Tax Credit taken thereon and sales made and output tax payable thereon for a specified period.
In order to file a GST return, you can simply take a TaxWink consultation for successful GST return filing.
Also Read: How to file gst annual return using GSTR-9
