GOODS SERVICES AND TAX (GST)

GST is most likely to be introduced with effect from 1st April 2017 . With its introduction , the following 3 major Taxes will be abolished : Central Excise Duty , Service Tax , Value Added tax (VAT) Supply will become the taxable event rather than manufacture or sale . GST will comprise of the following 3 elements Central Goods & services Tax (CGST ) , State Goods & service Tax (SGST) GSTIN (Goods And Services Tax Identification Number ) has 15 digits number that is given in a certificate of registration to an applicant . This number is given once his application for the Grant of GST registration is approved . Furthermore, this number is made available to the applicant on the common portal once GST registration gets completed. The number is based on PAN or TAN. the number indicates 1. First 2 digits represents State Code for Telangana code is 36 , Andhra Pradesh is 37 , Tamil Nadu is 33 and more on. 2. Next 10 digits indicate PAN or TAN 3. Thirteenth Digit represents number of registrations under a single PAN 4. Fourteenth Digit Indicates The Nature of Business 5. Fifteenth Digit is a Check Code. ( i.e alphanumeric character is known as check code ) NO fees for registration under GST registration is free of cost. Further more , registration under GST is not tax specific . This means that a single registration is needed for CGST , SGST/UGST . additionally , business in multiple states need to take GSTIN state wise .