The Government of India introduced the Goods and Services Tax to unify the various indirect taxes like VAT and service tax. This move was made on the 1st of July 2017 and while it did send shockwaves initially, the GST has been accepted and accommodated to. It does take some time to get used to this new change, and the government has given a lot of assistance to ensure that the people reap all benefits from this move.
Those who are eligible to pay the GST must file it regularly in order to cooperate with the authorities. To do so they must file their GST Returns that consist of the tax details of the individual. To file returns, one must ensure that they have all their invoices of purchases that they made.
Paying the GST: How Does It Work?
Taxpayers are to file the GST returns four times in total – three monthly returns and one annual. While the first monthly returns are to be filed manually, the remaining happen automatically thanks to the information that is fed in. this makes GST filing a very simple and convenient task. The due dates of all the returns are specified clearly, making it easy for the taxpayer to plan their month accordingly to ensure timely filing of returns.
How GST Changed the Pre – Existent Broken Tax Structure
Before GST, producers had to pay taxes at every stage, which added to the final selling price. This effect was called the cascading effect on taxes. Invoices earlier had VAT charged by the state and at times service tax payable to the centre. This structure did not provide a breakdown of central taxes charged on the commodity. With GST, assurance was given to people that commodities were taxed under a single tax bracket divided between the state and the centre.
With the ever-increasing popularity of technology and media, taxpayers need not worry about being out of the loop. All the information one requires is available on the Internet be it contact information or assistance with the procedure. The Government has managed to take advantage of the Internet to make sure that the citizens can take advantage of the various benefits offered through GST.