Frequently Asked Questions on Goods and Services Tax | FAQs on GST
Here are few, FAQs on GST which could be on everyone’s mind about taxes.
Are there any commodities that does not come under GST?
Yes, there is. Petroleum products (motor spirit, petroleum crude), natural gas, electricity, aviation turbine fuel, and alcohol for human consumption.
What is the need for Dual GST?
India is a country comprising of many States. Since Independence, the Centre and States have levied taxes via proper legislation. So, both the powers have responsibilities as per the power in the Constitution. In short, the dual GST will keep with the need of federalism.
Who is the governing body that decides the rates for GST?
The State and Government fix the GST rate. But, it is on the recommendations of the GST Council.
Before 2017, every taxes for a manufacturing process were independent. For a single business, the owner had to file different types of returns. They also need to contend with various rules. It was to simplify this system, GST got introduced. By this method, the tax departments get combined into one department under the new GST software.
GST vs Income Tax
GST is not implemented in every aspect of life. Vegetables, they do not come under GST. Surprised? It is true. Mobile phones have the percentage of 12 levied on them. So, consider the changes. For the vegetables, a millionaire need not pay money. For a mobile phone, even a poor person has to pay the same price. GST comes only on the sale of service or goods.
Consider the opposite, income tax. It applies, and that too in percentage, based on your income. If you have a taxable income, you need to file the returns. In case, you do not have any income, there is no need to pay the income tax. And yes, you need to pay it only when you have income above the limit set by the Government.
After collection of GST tax, businesses have to file the GST each month. They also have to remit the tax in collection before the 20th of the next month.
How To Calculate GST ?
In fact, to know about the rating of goods, you need to know about the HSN code. It is the method of categorizing goods according to the international trade trend. The GST Council has given GST rates for every HSN code that determines the rate of goods. You can then calculate The GST value by multiplying the value of goods with GST rate.
For the services, it is the SAC code. In other words, the service classification system of Indian Service Tax Department. The GST for services can then be calculated by multiplying the GST rate of the service with the value of the same.
So, have you opened a branch of your famous photo-studio in Bangalore? Okay, now you want to register for the GST. But how do you get the best qualified experts who offer guidance on GST services in Bangalore? It is easy. You can get the best professional for hire by placing a request via the app of the top quality home maintenance company in Bangalore. It is very easy to download the app on your mobile and place the request for meeting of the GST pro as per your convenience. Since there are many professionals registered, it is possible to even select the expert as per your budget. Before the scheduled day, you will get a call to confirm the booking and the requirements. The concerned professional will come to your doorstep and provide the necessary help.