GOODS AND SERVICE TAX (GST):

 Meaning- Goods And Service Tax is an indirect tax levied on the supply of goods and services. It is based on the principle of 'one nation one tax'.

 GST act was passed in the parliament on 24th March 2017 and came into affect from 1st July 2017. 

Types of GST :- There are three types of GST :

 1- Central GST [CGST]

 2-State GST [SGST] /Union Territory GST

 3- Integrated GST [IGST]

 

NOTE- 

• When a transaction is made intra-state   (same state) then SGST and CGST are    used together.

• When a transaction made inter-state (different state) then IGST is applicable.

Slab Rate Of GST :- 

• 0% (Essential items including food).

• 5% (Common use items such as branded food).

• 12% (Standard items).

• 18% (Maximum goods and services at standard rate).

• 28% (Luxury items including tabacco).