What Is GST, Complete Information? – Hello friends how are you all? Hope you are all healthy. Friends, today we will give you information on a very confusing topic in this article. In today’s article, we will tell you what is GST? So friends, if you also do not know about GST and want to know what is GST, then read this article till the last.
Friends, in the year 2017, there was a lot of confusion and there was a lot of discussion on this topic and that was GST. Yes friends, GST was a bill that the government faced many problems in passing in Rajya Sabha and Lok Sabha. Lakhs of people demonstrated on the road and opposed the government and after facing a lot of problems in the last, the Modi government finally passed this bill. But friends, GST was a subject about which many people did not have accurate knowledge, so we thought that today you should be informed about GST.
What Is GST?
Friends, GST stands for Goods and Service Tax. GST has been introduced to promote One Nation One Text,. Before 2017, when a product was made in a company, there were different types of taxes on it and by the time it came in the product market, many other taxes were also added on it, but since the launch of GST It has been since then that all taxes on any product have been abolished and only one tax, where GST goes, has been applied. Let us explain this to you by an example.
Guys, you have to buy a motorcycle. When this motorcycle is made in a company, there is no tax on it. But when the motorcycle is completed and sent to market, then firstly an excise tax which we call excise duty tax is imposed. Now when this motorcycle enters the border of another state, then it will have to pay an entry tax for entry in another state. After paying entry tax, when they come to sell in the market, then there will be a cell tax on it and if your bike is more luxury, then it also attracts luxury tax.
So friends, if the manufacturing cost of your bike is ₹ 20000, then at least ₹ 50000 is added to reach you after mixing it with all taxes. But the purpose of implementing GST is to eliminate all the taxes that are levied on any product and only one tax called GST should be implemented.
Why Is GST Required?
Now many people must be thinking what was the need to impose this new GST tax when our goods were being taxed, then friends, let me tell you that till now the tax that was levied on any product was from both the state government and the central government, The Central Government was empowered to impose manufacturing tax and service tax on the production of any commodity and the state government had the authority to impose cell tax on it.
As you all know, where there is a partnership system, there must be disputes. There were many such disputes over tax-sharing, which caused the price of a commodity to rise suddenly and go down. To get rid of all these problems, the government established One Nation One Tax, under which GST tax was implemented. GST tax is the only tax that you have to pay on any item. Apart from GST tax, the government does not charge you any tax on any product.
Friends, now we tell you what are the features of GST?
Ever since the GST system came into force, tax filing has become an easy system.
With the implementation of GST, you do not have to pay different types of taxes, you have to pay only one tax.
After the implementation of GST, black marketing and corruption have also been controlled.
In the old tax system, the consumer had to pay 30-35% but after GST, the tax maximum is 28%.
So guys this was some of the key features of GST for you. Today’s information ends here. Today in this article we told you what is GST, why is GST required and what are the benefits of GST? We hope you like this information. Friends, if you want to get other similar information, then read our article daily because we keep bringing new information on many topics on this article. Thank you very much for your valuable time