Goods and Services Tax
K
SYMBIOSIS INSTITUTE OF MANAGEMENT STUDIES
Goods & Services Tax
Report submitted to Dr. Dhirendra Deshpande in partial fulfillment for the degree of Masters in Business Administration
Symbiosis International University, Pune
Abstract: This report is an attempt to understand the impact of GST on Indian economy. The report defines Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system. The report ends with the probable impact of GST on Indian economy and the limitations of the implementation of GST.
Contents
Introduction 3
Sales Tax 3
Types of sales tax 3
Sales tax in India 4
Value- Added Tax (VAT) 6
Importance of VAT in India 6
Advantages Of VAT 6
Disadvantages of VAT 7
Items covered under VAT 7
Tax implication under Value Added Tax Act 8
VAT vs. Sales Tax 8
Goods and Services Tax (GST) 10
Introduction 10
The Need for GST 10
Benefits of GST 11
How GST Will Work 12
GST vs. VAT 14
GST vs. SALES TAX 15
Limitation of GST 16
Introduction
This report is an attempt to understand the impact of GST on Indian economy. The report starts by defining Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system. The report ends with the probable impact of GST on Indian economy.
Sales Tax
A sales tax is a tax paid to a governing body by a seller for the sales of certain goods and services. Laws allow the seller to collect funds for the tax from the consumer at the point of purchase. Laws may allow sellers to itemiz (state item by item) the tax separately from the price of the goods or services, or require it to be included in the price (tax-inclusive). The tax amount is usually calculated by applying a percentage rate to the taxable price of a sale.
When a tax on goods or services is paid to a governing body
SYMBIOSIS INSTITUTE OF MANAGEMENT STUDIES
Goods & Services Tax
Report submitted to Dr. Dhirendra Deshpande in partial fulfillment for the degree of Masters in Business Administration
Symbiosis International University, Pune
Abstract: This report is an attempt to understand the impact of GST on Indian economy. The report defines Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system. The report ends with the probable impact of GST on Indian economy and the limitations of the implementation of GST.
Contents
Introduction 3
Sales Tax 3
Types of sales tax 3
Sales tax in India 4
Value- Added Tax (VAT) 6
Importance of VAT in India 6
Advantages Of VAT 6
Disadvantages of VAT 7
Items covered under VAT 7
Tax implication under Value Added Tax Act 8
VAT vs. Sales Tax 8
Goods and Services Tax (GST) 10
Introduction 10
The Need for GST 10
Benefits of GST 11
How GST Will Work 12
GST vs. VAT 14
GST vs. SALES TAX 15
Limitation of GST 16
Introduction
This report is an attempt to understand the impact of GST on Indian economy. The report starts by defining Sales Tax and Value-Added Tax (VAT). It then looks at the Goods and Services Tax (GST) design in India which has been adapted to suit the Indian taxation system. The report ends with the probable impact of GST on Indian economy.
Sales Tax
A sales tax is a tax paid to a governing body by a seller for the sales of certain goods and services. Laws allow the seller to collect funds for the tax from the consumer at the point of purchase. Laws may allow sellers to itemiz (state item by item) the tax separately from the price of the goods or services, or require it to be included in the price (tax-inclusive). The tax amount is usually calculated by applying a percentage rate to the taxable price of a sale.
When a tax on goods or services is paid to a governing body