GST Registration in Faridabad

GST, or Goods and Services Tax, is an indirect tax imposed on the supply of goods and services. Goods and services are included under a single domestic indirect taxation law for the whole of India. In this regime, tax is charged at each point of sale.

It is a mandatory rule under the Government of India, who basically want to save tax and prevents oneself from the cascading effect of tax.

Yes, it is necessary for every tax payer to pay GST who is registered under the GST regime.

The full form of CGST– Central Goods and Service Tax | SGST– State Goods and Service Tax | IGST– Integrated Goods and Service Tax

CGST and IGST is levied by Central Government, whereas SGST is levied by State Government

CGST and SGST is to be paid for the Intra-State Supply, whereas IGST is to be paid for Inter-State Supply.

The limit to be considered under GST laws are different for the different categories:

Manufacturing Sector – 40 lakhs

Service sector – 20 lakhs

In North Eastern states – 10 lakhs

Destination based tax or consumption tax are levied where goods and services are being consumed. In destination–based taxation, exports are considered together with zero taxes whereas imports are taxed on par with the production done in the domestic basis.

Goods and services are bifurcated into five different heads of tax slabs for collection of tax – 0%, 5%, 12%, 18% and 28%.

If there is delay in filing GST, the penalty charged if Rs 200/- per day. There is no such late fees charged in IGST

If the GSTR is not Filed, then there will be a penalty of 10% of Tax due or Rs 10,000, whichever is earlier

If someone has committed fraud, then there will be a penalty of 100% of the tax due or Rs 10,000 whichever is earlier

Composition Scheme is a simple process under the GST law for all the taxpayers, so that they can get rid of the difficult formalities and have to pay the GST at a fixed rate based on the turnover. This scheme is opted by the taxpayer whose turnover is less than Rs 1.0 crore. But now the CBIC has notified the increase to the threshold limit is from Rs 1.0 Crore to Rs. 1.5 Crores. The limit is now Rs 75* lakh, in case of North-Eastern states and Himachal Pradesh. The applicable GST rate under the composition scheme is 1% of the rate of annual turnover, in case of manufacturer or traders(Goods).