Making India one tax one nation dream come true after GST implementation on all over india. More than 1 crore business already registered under gst and more are coming. Here in this blog post we explain about the IGST model in GST. Many people do not know what is IGST, SGST,CGST here we explain in detail.
GST EXPLANATION: Now here we explain about the gst model there are two components in this model Central GST (CGST)and State GST(SGST). Center would levy and collect CGST and State would levy and collect SGST totally.
Now for inter-state transaction central government will levy and collect integrated goods and service tax(IGST) which would be equal to CGST and SGST.
WHAT IS IGST: It is called as integrated goods and service tax. IGST is the provision in GST to monitor the inter-state movement of goods and services.It is not an extra added tax but it is just the sum of SGST and CGST.
IGST=CGST+SGST
FEATURES OF IGST:
GST EXPLANATION: Now here we explain about the gst model there are two components in this model Central GST (CGST)and State GST(SGST). Center would levy and collect CGST and State would levy and collect SGST totally.
Now for inter-state transaction central government will levy and collect integrated goods and service tax(IGST) which would be equal to CGST and SGST.
WHAT IS IGST: It is called as integrated goods and service tax. IGST is the provision in GST to monitor the inter-state movement of goods and services.It is not an extra added tax but it is just the sum of SGST and CGST.
IGST=CGST+SGST
FEATURES OF IGST:
- It is the sum of SGST and CGST.
- Levied on interstate and the cross-border goods and service transfer.
- Will be shared by the Center and State.
ADVANTAGES OF IGST:
- Maintenance of tax neutrality of goods.
- Quick tax paying structure without extra burden on taxpayers.
- This is a simple, transparent and self monitoring model.
- No requirement for the physical verification because all the information is available through GSTIN.
- Payment of tax is through online platform means no need for extra form filling and cash payment delivery.
- Input tax credit feature given in filling the tax payment.
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