What is CGST?
It means Central GST(Central Goods and Service Tax)
It is charged on local sales
What is SGST?
It means State GST(State Goods and Service Tax)
It is charged on local sales (sales within state)
What is IGST?
It means Intergrated GST
It is charged on interstate sales(sales outside state)
Which Type of GST on Which Sales?
| TYPE OF SALES | TAX CHARGED |
|
LOCAL SALE WITHIN STATE |
CGST+ SGST |
| CENTRAL SALE OUTSIDE STATE | IGST |
What will be Rate of CGST, SST AND IGST?
Suppose government has declared Rate of ITEM as 5%
If we sale within state,we willl charge
CGST 2.5% and SGST 2.5%
If we sale outside state,we will charge
IGST = 5%
Hence
TAX RATE ON IGST
=TAX RATE ON CGST+TAX RATE ON SGST
Example 1
Sales Amount=20000
Suppose Rate of tax on goods as per CGST is 9% and SGST is 9%
Make Bill assuming it is Local Sales within State
View Answer| SALES | 20000 | |
| CGST | 9% | 1800 |
| SGST | 9% | 1800 |
| TOTAL | 23600 |
Example 2
Solve last question assuming it was Interstate Sales
View AnswerIn this case,IGST Will be charged
| SALES | 20000 | |
| IGST | 18% | 3600 |
| TOTAL | 23600 |
Difference between CGST SGST and IGST?
| CGST | SGST |
IGST
|
Full form of CGST isCentral Goods and Service Tax |
Full form of SGST isState Goods and Service Tax |
Its full form isIntegrated Goods and Service Tax |
CGST is charged on Local Sales(Sales within State) |
SGST is charged on Local Sales (Sales within State) |
IGST is charged on Interstate Sales(Sales Outside State) |
It is charged and collected by Central Government |
It is charged and collected by State Government |
It is charged and collected by Central Government |
It has replaced taxes like Central Excise and Service tax |
It has replaced taxes like VAT, Luxury tax and Entertainment tax |
It has replaced taxes like CST(Central Sales Tax) |
