GST (goods and service tax) is an indirect tax imposed on supply of goods and services. It has replaced many direct tax laws that previously existed in India, under the GST authorities,tax will be imposed at every point of sale. Let us try to understand ‘GST’ that will be imposed on every value addition.

GST was first introduced during 2007-08 budget session on 17^th Dec 2014,the current union cabinet ministry approved the proposal for introduction GST constitutional. Any person who is supplying goods and services is label to charge GST.

GST was introduced in India on 1^st July 2017. It is governed by a GST council and its chairman shyer finance minister of India under GST. Goods and services are taxed at the following rates – 0%, 5%, 12%, 18% and 28 %.

There is a special rate of 0.25% on rough precious and semi-precious stone and 3% on gold. 28% GST applies in few items like cleated drinks, luxury cars and tobacco products.

We have to pay entertainment tax for watching a movie. We have to pay value added tax (vat) on purchasing goods and services. There are excise duties, import duties, luxury tax, central sales tax, service tax etc.

Some of these taxes are imposed (levied)by the central government and some are by the state govt.

Advantages:-

1.       It reduce number of indirect taxes.

2.       Tax system if India will be easier.

3.       According to national council of applied research, there is possibilities to increase the value of domestic production.

4.       After GST there will be no hidden taxes and the cost of doing business will be lower?

5.       GST will be levied only at the final destination of consumption based on vat principle and not at various points.

6.       GST will also help to build a transparent and corruption free tax administration.

Disadvantages:-

1.       Some economist say that GST in India would impact negatively on the real estate market.

2.       After GST, garments and clothes could become more expensive.

3.       The aviation industry would be affected. Services taxes on airfares currently range from six to nine %.

Some items are expected to become cheaper under GST for the common man-

1.      Dining in restaurants.

2.      Prices of movie tickets may become cheaper inmost state

3.      Two wheeler

4.      Televisions

5.      Washing machines

6.      Stoves

Items expected to get costlier

1.      Mobile bills

2.      Renewal premium for life insurance policies

3.      Residential rent

4.      School fees

5.      Courier services

6.      Aerated drinks

7.      Cigarettes and tobacco products

8.      Commuting by metro or rail may become expensive.

Enrolment under GST means validating the data of existing taxpayers and filling up the remaining key fields.

You can apply for PAN by filling up Application for Allotment of Permanent Account Number (PAN application form) Form 49A (for Indian Citizens) and Form 49AA (for Foreign Citizens). PAN application can be made either online through NSDL web-site www.tin-nsdl.com (Click here to apply for PAN online) or through any of the NSDL TIN-Facilitation Centres/ PAN Centres (Click here to select the nearest TIN Facilitation Centers/ PAN centres where PAN application may be submitted).