Goods & Services Tax: Doing away with multiple taxes

The Goods and Services Tax (GST) is India’s landmark tax reform. A single, comprehensive indirect tax on goods and services throughout India, right from the manufacturer to the consumer, GST has virtually transformed taxation structure in India, rationalising tax collection and simplifying compliance procedures to a great extent. Multiple Central and State levies such as Central VAT, state VAT, service tax, octroi/ entry tax, lottery tax, special additional duty on customs, additional excise duty, countervailing duty, entertainment tax, Central excise duty and purchase tax have now been subsumed into GST levied on the event of ‘supply’ of goods or services. So, businesses now only require a single a GST registration in place of multiple registrations for the above-mentioned wide range of taxes. Though GST is applicable to all products and services, not all businesses require a registration. Businesses with a turnover (supply of goods or services) of more than Rs. 20 lakh (Rs. 10 lakh in North Eastern states) need to mandatorily register for GST. This limit, though, does not apply if the business is involved is selling to other states. It must register for GST regardless of turnover. The Great Solution team comprises highly-experienced professionals to ensure compliance of your business with this revolutionary tax system.