Question : Why is Dual GST required ?
Answer : India is a federal country where both the Center and the States have been assigned the powers to levy and collect taxes through appropriate legislation. Both the levels of Government have distinct responsibilities to perform according to the division of powers prescribed in the Constitution for which they need to raise resources.
A dual GST will, therefore, be in keeping with the Constitutional requirement of fiscal federalism.
- What is the justification of GST?
- What is GST? How does it work?
- How can the burden of tax, in general, fall under GST?
- How will GST benefit industry, trade and agriculture?
- How will GST benefit the exporters?
- How will GST benefit the small entrepreneurs and small traders?
- How will GST benefit the common consumers?
- What are the salient features of the proposed GST model?
- Why is Dual GST required?
- How would a particular transaction of goods and services be taxed simultaneously under Central GST (CGST) and State GST (SGST)?
- Which Central and State taxes are proposed to be subsumed under GST?
- What is the rate structure proposed under GST?
- What is the concept of providing threshold exemption for GST?
- What is the scope of composition and compounding scheme under GST?
- How will imports be taxed under GST?
- Will cross utilization of credits between goods and services be allowed under GST regime?
- How will be Inter-State Transactions of Goods and Services be taxed under GST in terms of IGST method?
- Why does introduction of GST require a Constitutional Amendment?
- How are the legislative steps being taken for CGST and SGST?
- How will the rules for administration of CGST and SGST be framed?