GST - LEVY

Scope of GST
• GST is applicable on supply of goods and services
• GST is applicable on all goods and services except alcohol for human
consumption, petroleum products – crude oil, diesel, petrol, natural gas and
ATF
• Tobacco products are within the purview of GST. Centre may also levy excise
duty
• Based on destination based consumption tax principle.
• Uniform procedure for collection of tax
• GST subsumed several indirect taxes
• CGST, SGS/UTGST, IGST are the components of GST
 Tax Invoice
Invoice No:
Transport Mode:
Invoice date:
Vehicle number:
Reverse Charge (Y/N): N
Date of Supply:
State:
Code   Place of Supply

Bill to Party Ship to Party

Name: Name:
Address: Address:

GSTIN: GSTIN:

State: Code   State: Code  

HSN IGST
S. No. Product Description
Code
Qty Rate Amount Discount Taxable value Total
Rate Amount

      5 5000 25000 2000 23000 18 4140 27140

          0  0   0 0

Total 5  25000 2000 23000   4140 27140

Total Invoice amount in words Total Amount before Tax 23000

Add: IGST 4140

  Total Amount after Tax: 27140

Features of GST
1. Consumption Based Tax
2. Transparent, speedy and error free method of levy and collection
3. Concurrent jurisdiction by the Centre and States
4. IGST on inter-state trade and import
5. Compensation for five years
6. Exports and supplies to SEZ are zero rated
7. Electronic filing of return and payment of tax
8. Centre- State settlement of accounts
9. System of self assessment
10. Wide application of technology
11. GST Council
12. Threshold exception
13. Dual GST
14. Multiple Tax Rates
BENEFITS OF GST TO
CONSUMER
1. Uniform price
2. Simple and transparent
3. Reduced price
4. Reduced tax burden
BENEFITS OF GST TO
GOVERNMENT
1. Increased revenue
2. Easy administration
3. Better control
4. Reduced tax evasion
5. Better foreign investment
6. Support Govt.
7. Better investment climate
BENEFITS OF GST TO
BUSINESS
1. Reduction in multiplicity of taxes
2. Certainty and easiness
3. Removal of cascading effect
4. Easy compliance
5. Gain to Manufacturers and exporters
LIMITATIONS OF GST
1. Difficult To Adapt
2. Multiple Tax Rate
3. Multiple State Registration
4. Professionals Needed
5. Not A Single Tax
6. Change In Software
7. Increase In Operational Cost
8. Computerized GST
9. Dual Control