- Goods and Service Tax is the Tax on Goods and services which is leviable at each point of sale or provision of service.
- Seller or service provider can claim the input credit of tax, on sale of goods or providing the services, which he has paid while purchasing the goods or procuring the services.
- GST avoids the cascading effect and the final consumer bear the burden of all tax.
- Generally in such systems exports are zero rated and all the taxes paid while manufacturing and purchasing the goods and services are returned to the exporter to make the export more competitive.
- There are two types of GST, Unified or Single GST and Dual GST. In India, dual GST is expected to be proposed wherein Centre and State will be levying on the transactions of the value of Goods or Service.
So, attached document is a brief discussion on Goods & Service Tax has been presented with pros and cons of GST and necessary effect on existing Indirect Tax laws.