GST (Goods and Services Tax) is an indirect tax levied on the supply of goods and services in India. It replaced multiple indirect taxes like VAT, service tax, and excise duty.
GST Rates
• 0% - Essential items (food grains, milk)
• 5% - Household necessities
• 12% - Processed foods, computers
• 18% - Most goods and services
• 28% - Luxury items, sin goods
CGST, SGST, IGST
• CGST: Central GST (collected by Central Govt)
• SGST: State GST (collected by State Govt)
• IGST: Integrated GST (for interstate supply)
• Intra-state: CGST + SGST = Total GST
• Inter-state: IGST = Total GST
GST Registration
• Mandatory if turnover > ₹40 lakhs (₹20L for NE states)