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    Types of GST in India - Information of CGST, SGST, IGST and UGST

    Types of GST in India- Information of CGST, SGST, IGST and UGST

    India is currently going through major reforms in its entire economic areas. India's growth rate is so high that it is ready to become the world's third largest economy by 2030. The Government is making significant initiatives to promote overall economic development of the country. Introducing GST and its 3 types - CGST, SGST, IGST and UTGST are effectively supporting such major economic development programs.
    GST, image of gst, goods and service tax
    GST (GOODS AND SERVICE TAX
    GST stands for Goods and Services Tax It is considered the largest taxation reform in the history of Indian economy. It will sell many taxes like VAT, service tax, CST, excise and additional excise duty, entertainment and luxury tax etc. This is the only taxation system that will help in eliminating time, cost and effort.


    GST has been introduced in Parliament as the Constitution Amendment Act 2016 and it is regulated by the Union Finance Ministry of India. It is consumption based on the supply of goods and services, which means that it will be levied on each stage of sale or purchase of goods or services on the basis of input tax credit method.

    GST will convert the Indian economy into a common market based on a similar tax system. This would make it easier to do business in India. Due to GST the industry will save substantially in terms of logistics and supply chain. Some companies will be more benefitted because GST rates will be lower than current taxation. On the other hand, some areas will have to pay more taxes because GST will change evenly the old taxes, which can increase rates gradually.
    The overall impact of GST on India's economy is likely to be positive. As GST will be implemented from July 2017, industry and business organizations have started to build future strategies. Central and also the state government is focusing on regulating GST and major changes are being made in the organized monetary framework Are there.
    The Government has joined hands with National Securities Depository Limited (NSDL) and together they have made the Goods and Services Tax Network (GSTN). It is a non-governmental firm that will provide IT infrastructure services to central and state governments, stakeholders and taxpayers for proper implementation and GST regulation.
    Indian economy is very diverse due to many industries operating in different areas, with different locations, supply chains and target consumers. To understand the GST's wide impact, let's discuss three types of ours-

    Central Goods And Service Tax (SGST)

    According to the Central Freight and Service Tax Act 2016, CGST is the centralized part of GST, which is servicing current central taxation and levy - excise duties under the Central Sales Tax, Central Excise, Service Tax, Medical and Toiletries Preparation Act, Additional Excise CounterWelling Duty (CVD), additional customs duty and other centralized taxation  of CGST standard services and goods Applies to supplies of goods and services which may be amended from time to time by a special body under the central government. Revenue collected under CGST is related to the Central Government. Input tax is given to state governments which they can use in comparison to the CGST payment.

    State Goods And Service Tax (SGST)

    SGST is an important part of GST. It is for the state's goods and services tax according to 2016 GST bill. Under the State Authority, various taxes and levies have been included as a single taxation by SGST. It involves the state sales tax, luxury tax, entertainment tax, lease on lottery, entry tax, zakat and other taxes - a similar tax - related to the movement of goods and services under the state authority through SGST.


    Revenue collected under SGST comes under the state government. However, the mainstream state governing body will be monitored by the Central Government. In each state, there will be state authority to collect SGST.

    Integrated Goods And Service Tax (IGST)

    GST is focused on the concept of a tax, a nation. The GST stands for Integrated Goods and Services Tax on which goods and services are supplied from one state to another. For example, if goods and services are supplied between Gujarat and Maharashtra, IGST will be applicable.
    Under Article 269A of Indian Constitution, interstate trade and commerce activities involving the movement of commodities and services will be levied with an integrated tax (IGST) under the GST regime. Government of India will collect revenue under IGST. Apart from this, changes can be done by the goods and services tax council of India.

    Union Territory Goods And Service Tax (UGST)

    As we have already learned about CGST and SGST, which are Intra-State Taxation and IGST, which are Inter State, Union Territories in India according to GST Rule 2016, a specialty of the Federal Area Goods and Service Tax Taxes are deposited under. Various taxation, levy and duties have been included along with uniform taxation in union territories.
    Delhi (Capital of India), Chandigarh, Dadra and Nagar Haveli, Andaman and Nicobar Islands, Daman and Diu, Lakshadweep and Puducherry are the major Union Territories of India. UTGST will be for all taxes under these union territories of India. Parliament is eager to implement a separate Act to implement and monitor the GST in the Union Territories under the name of UGGT Act. For more change in the implementation of GST, the bill will be presented in respective union territories.

    Conclusion

    GST will definitely boost the economic development of the country and ease trade in the overall industrial areas. Important types- CGST, SGST, IGST and UTGST will provide a smooth mechanism for tax collection for the concerned Central, State and Union Territories of India. This will start a new phase of India's economy by providing logistics and supply chain efficiency and state-based equality, which is needed  .

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