srihari powerpoint presentationdsfdfdsfdf

bokkalodhi

1. OVERVIEW WHAT IS GST? ESSENCE OF GST TAXES SUBSUMED UNDER GST FRAMEWORK OF GST LEVY OF GST THE ROAD AHEAD

2. WHAT IS GST? GST (GOODS AND SERVICES TAX) is the biggest taxation reforms in India aiming to integrate state economics and boost overall growth by creating a single, unified Indian market to make the economy stronger. GST is a consumption or destination based tax levied on the basis of the “Destination Principle”. It is a comprehensive tax regime covering both goods and services, and be collected on the value-added at each stage of the supply chain.

3. GOODS AND SERVICES TAX THE TAX REFORM OF INDIA “TRANSFORMING THE FUTURE OF TAXATION” BY NISHTHA GOEL

4. ESSENCE OF GST The essence of GST is in removing the cascading effect of both the Central and State taxes by allowing setting-off of taxes throughout the value chain, right from the original producer and service provider’s point up to the retailer’s level. GST is thus not simply VAT plus SERVICE TAX, but a major improvement over existing system of VAT and disjoined Service Tax ushering in the possibility of a collective gain for the industry, trade and common consumers as well as for the Central and the State government.

5. TAXES SUBSUMED UNDER GST CENTRAL TAXES STATE TAXES Central Excise Duty State VAT Additional Duties of Excise (Medicinal and toilet preparations, Goods of special importance, textile and textile products) Central Sales Tax Additional Duties of Custom (CVD) Purchase tax Special Additional Duty of Custom (SAD) Luxury tax Service Tax Entry tax Cesses and Surcharges Entertainment tax Taxes on advertisement, lottery, betting and gambling State cesses and surcharges

6. FRAMEWORK OF GST India being a federal country both Centre and State have been assigned the powers to levy and collect taxes through appropriate legislation. A dual GST was therefore proposed keeping in mind the Constitutional requirement of the fiscal federalism.

7. Along with the amendment in the constitution, to empower the centre and the states to levy and collect the GST, four legislations were given assent by the president, which are: THE CENTRAL GST ACT 2017 THE INTEGRATED GST ACT 2017 THE GST (Compensation To States) ACT 2017 THE UNION TERRITORY GST ACT 2017

8. LEVY OF GST GST is levied on supply of all goods or services or both except supply of alcoholic liquor for human consumption. Five petroleum products viz. petroleum crude, motor spirit (petrol), high speed diesel, natural gas and aviation turbine fuel have been temporarily kept out. The structure provided under GST is DUAL in nature and under this, the Centre and the State simultaneously levy tax on a common base. The GST levied by the Centre on Intra-State supply of goods and/or services is called CENTRAL GST (CGST).

9. Whereas the GST levied by the State/UT is called the STATE GST (SGST)/(UTGST). Similarly the Integrated GST (IGST) is levied and administered by the Center on every INTER-STATE SUPPLY of goods and services.

10. THE ROAD AHEAD… Thus GST as a well-designed value added tax on all goods and services, is the most elegant method to eliminate distortions and to tax consumption. The implication of GST on ground level is a difficult task and so is the case with the fixation of rates of GST. The Government of India have to take the appropriate steps to remove all the hinderances from the way of GST. For GST is THE FUTURE OF TAXATION…

11. THANK YOU!