What Everybody Ought to Know About Goods and Services Tax (GST)

1) Goods and Service Tax, referred to as GST is a tax levy on manufacture, sales and consumption of goods and services at national level.

2) Goods and Service Tax is collected on value-added goods and services at each stage of sales or purchases in the supply chain.

3) Goods and Service Tax improves the tax collections and also boosts the country’s economic development as GST breaks tax barriers between States and creates a uniform tax rate all over India.

4) Goods and Service Tax aims to replace overlapping state duties that deter investment.

5) GST legislation will be discussed in February’s Budget session as stated by Finance Minister Arun Jaitley.

6) GST simplifies taxes by broadening the tax base and added 2% points to India’s economic growth.

7) GST may be brought into effect from 1st April 2016.

8) GST will replace many indirect taxes that are levied by Central and State Governments and will provide a common national market of goods and services.