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Get Started for GST
Introduction of GST has been a subject matter of curiosity to almost everyone in the country.  The businessmen are looking forward to it with the hope of simplicity and transparency, consumers, that is ordinary citizen are looking forward for cost reduction, government officers are  hoping for lesser paper work and high degree of atomization.  Let us see how it will work.
Why everyone is so anxious about  GST ?
Salient Features of GST
GST will be a tax on Goods and Services supplied , it is a destination based tax.  Existing taxes are based on the concept of tax on manufacture of goods or provision of services.
There will be dual GST, one part comprising of taxes currently under the list of Central government and another S GST comprising of taxes currently under the purview of State governments
The Registered Person will be entitled to enjoy the credit of GST paid on Purchase of goods or Receipt of Services on his own, at the time of paying his tax liability.
Various Current taxes levied by the Central Government will be “subsumed” into C-GST and various State level indirect taxes will be “Subsumed” into single S-GST.
Import of goods or services would be treated as Inter State Supplies and would be subject to  IGST, IGST will be levied on the Inter State supply of goods, including the Branch transfers. This would be collected by the Central government so that the credit chain is not disrupted.
There will be a single Return to be filed by the Registered Person.
How the GST will operate ?
GST consists of three different  parts.  They are
1.       C-GST  it is  a basket of currently named
a.       Central Excise
b.      Duties of Excise
c.       Additional duties on Goods of special Importance
d.      Additional Duties of Excise on Textile
e.      Special Additional duty of Customs
f.        Service Tax
g.       Cesses
h.      CVD
2.       S-GST comprising of taxes currently levied by the State Governments
a.       State VAT
b.      Central Sales Tax
c.       Purchase Tax
d.      Luxury Tax
e.      Entry Tax
f.        Entertainment Tax  Other than those levied by local bodies
g.       Taxes on Advertisement
h.      Lottery Tax
i.         State Cess and surcharge
3.       Another salient feature of GST is the list of exempted items  will be kept at the minimum level.
4.       Exports will be zero rated
5.       Goods currently not covered under GST

Although the GST is  supposed to cover entire economy, considering the diversity in our country in general, and economic conditions of small states, following goods are not covered under the GST at this stage
A.      Alcohol for human consumption
B.      Real Estate
C.      Electricity
GST on Petroleum products would be applicable from a date to be recommended by the GST Tax council, for the time being they will be covered under existing VAT laws of the respective states.
6.       Method of Set Off
Output Tax First set off against Balance set off against Residual set off
7.       Procedures, rules and regulations for Registration, periodicity of Returns, Method of Payments all are designed. 
My next article will be on Registration process under GST
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