Is GST Applicable on Electricity Bills in India? GST impact on Power Sector

GST on Electricity

Will GST Bring the Missing Spark in India’s Electricity Bills? “To Be or Not To Be” – Shakespeare’s famous lines appear to fit aptly on the present taxation regime in India. It has been more than six months since the GST tax was implemented, but the GST council has still refrained from bringing real estate and electricity power sector under the new tax regimes radar. In all fairness, GST was a paradigm shift in the Indian Taxation History. And the Government should be given some credit for overcoming the transitional roadblocks. Also from time to time, necessary changes have been made to the tax slabs to address the taxpayers grievances. Read More

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A Case Study On GST Collections In The Midst Of Budget 2018

Case Study on GST Collection Budget 2018

The parliamentary session has begun and the all eyes are on the Budget 2018 that will be presented on 1st February, for the first time in the nation. The impact of GST rollout is expected to rock the budget session and will also have a greater impact on the budget itself according to a case study on GST collection. We all are knowing that GST was implemented in the July 2017 for the smooth trade and to increase the government revenue by monitoring the tax hoarders. Read More

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Big GST Cut: Zero Percent GST On Sanitary Napkins in India

GST on Sanitary Napkins

Sanitary Napkins Exempt from GST:

On 21st July, in the 28th GST Council meeting regime has made a decision to change the GST rate on sanitary napkins from 12 per cent to ZERO per cent.

The reason is that the reduced rate is applicable on the final product, while the manufacturers still have to pay GST on inputs like cotton (5%), plastic packaging sheet (18%), aseptic packaging paper (12%) and advertising (18%), with no credit availability. This has resulted in almost no price change of sanitary napkins even after a reduction in tax rate. Read More

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GST Impact on FMCG – Fast Moving Consumer Goods Sector in India

GST impact on FMCG

The fast-moving consumer goods (FMCG) is one of the largest economic sectors in India. This sector mostly represents packaged goods and other consumables except for groceries, pulses, etc. According to a report by the Brand Equity Foundation of India, with an annual growth rate of 20.6 percent, the FMCG industry of India is expected to reach US$103.7 billion by the next two years. Let’s discuss the GST impact on FMCG sector in India. Read More

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GST on Entertainment – Impact on Media & Entertainment Services in India

Impact of GST on Entertainment

Entertainment is one of those industries that are liable for more than one taxes in India. In addition to the central taxes, states as well as local authorities used to charge taxes on entertainment services such as movie theatres. However, all these taxes have now been replaced with a single tax after the implementation of the Goods & Services Tax (GST) in India. Let’s see the impact of GST on Entertainment. Read More

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Impact of GST on Private Hajj and Umrah Pilgrimages

GST on Hajj and Umrah

The Goods and Services Tax (GST), which was officially unveiled in July 2017 in India, is applicable to a range of products and services supplied throughout the country. Even though most of the pilgrimage tours, including Amarnath Yatra, have been exempt from GST, there is a 5% tax on private hajj tour packages. This has created problems for the Muslim community of India. Read More

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Is Digital Transaction Taxable? GST impact on Online Transactions in India

GST Impact on Online Transactions

Even though the government of India is encouraging people to use digital money more in place of real money, most people aren’t even aware that these online transactions are taxable. Want to know how much money you are paying as GST to banks for each of the transactions you perform online or through your mobile phone? Here you go.

GST rate on Online Transactions

The old service tax (which was 15%) on bank payments and online transactions has now been replaced by GST at the standard rate of 18%. This tax shall be applicable on the fee levied by banks on the online transactions performed by their users. That means users will now have to pay 18% GST taxation rate on their bank transaction fees. Let’s understand by the example of the State Bank of India (SBI). Read More

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