What is the full form of GST?
GST: Goods and Services Tax
The full form of GST is Goods and Services Tax. It is an indirect tax that was introduced to simplify the complex indirect tax system in India. According to the Constitution of India, the state government was empowered to levy taxes mainly on the sale of goods and products and the right to levy taxes on the services and production of goods. Due to which different types of taxes were applicable in India, due to which the present tax system of India became very complicated, GST was introduced to simplify it. It is also called ‘One Nation One Tax‘ due to the cancellation of many earlier levies and taxes.
Unlike the VAT regime, GST is a destination-based tax. This means that it will be paid in the state where the end-user or consumer purchases goods or services. GST will not affect export and direct taxes like income tax, corporate tax and capital gains tax. GST will be applicable to all goods except crude petroleum, motor spirit, diesel, aviation turbine fuel and natural gas. India is a federal country where both central and state governments have the right to earn revenue by collecting taxes, hence GST is sub-divided into a few types.
Types of GST
1. CGST – Central Goods and Services Tax
CGST is a centralized part of GST and is collected and levied by the central government. The previous central taxes like Central Sales Tax, Central Excise Tax, Service Tax, Excise Duty under Medical and Toilet Construction Act, Additional Excise Duty Countervailing Duty (CVD), Additional Customs Duty and other centralized taxation have been merged with it. The CGST rate will be the same as the SGST rate.
2. SGST – State Goods and Services Tax
SGST is collected and levied by the respective state government. Previous state taxes such as state sales tax, luxury tax, entertainment tax, levy on lotteries, entry tax, octroi and other taxation related to movement of goods and services under state authority have merged with it. The revenue collected under SGST comes under the state government. However, the main structure of the state governing body is supervised by the central government. Each state has each state authority to collect SGST.
3. IGST – Integrated Goods and Services Tax
The central government collects IGST, but is levied by both the central government and the concerned state government. The Central Government, after collection of tax, distributes its share (predetermined as per the agreement between the State Government and the Central Government) to the concerned State. The IGST rate is equal to the total of CGST and SGST rate.
4. UTGST – Union Territory Goods and Services Tax
UTGST is levied by the respective Union Territory on the transactions taking place in any Union Territory of India. Delhi (capital of India), Chandigarh, Dadra and Nagar Haveli, Andaman and Nicobar Islands, Daman and Diu, Lakshadweep, Puducherry and Ladakh are union territories of India.
Other full forms of GST
| Full Form | Category |
|---|---|
| Glutathione S-Transferase | Biochemistry |
| Generation-Skipping Transfer | Rules & Regulations |
| General Sales Tax | Business Terms |
| General Strain Theory | Psychology |
| Gustavus Airport | Airport Codes |
| Gulf Standard Time | Time Zones |
| Greenwich Sidereal Time | Astronomy & Space Science |
| Gulf States Toyota | Companies & Corporations |
| Grand Southern Trunk | Roads & Highways |
| Glucagon Stimulation Test | Tests |
| Generalized Suffix Tree | General Computing |
| Germanium-Antimony-Tellurium | Chemistry |
| Galileo System Time | Astronomy & Space Science |
| Danish Geodata Agency | Departments & Agencies |
| Guam Standard Time | Time Zones |
| Grand Sports Tourer | Automotive |
| Generalized Structure Tensor | Mathematics |
| Goode Solar Telescope | Astronomy & Space Science |
| Gerolsteiner | Cycling |
| Gnome System Tools | Sofware & Applications |
| Generalstaben | Departments & Agencies |
| Groupe Socialiste des Travailleurs | Politics |
| Global Strike Team | Military |
| General Set Theory | Mathematics |
| GPS Science and Technology | Ocean Science |
| Grenades, Snarks, & Teleporters | Science Fiction |
| Galactic Standard Time | Science Fiction |
| Generation Skiboard Team | Skiing |
| Government Stealing Tax | Funnies |
| Ground Support Terminal | Military |
| Go Study Torah | Religion |
| God Says Tithe | Religion |
| Give Sheila Time | Funnies |
| Global Science and Technology | Companies & Firms |
| Gold Steel Titanium | Colors |
| Great Supper Time | Food & Nutrition |
| Game Saving Technology | Gaming |
| Get Saddam Tax | Funnies |
| Giga Squad Team | Music |