GOODS AND SERVICES TAX (GST)

Goods and Services Tax (GST) is a comprehensive, multi-stage, destination-based indirect tax that is levied on the supply of goods and services across India. Introduced on 1st July 2017, GST is one of the most significant tax reforms in Indian history and has subsumed a wide range of previously existing central and state indirect taxes. The GST regime aims to create a unified national market by eliminating the cascading effect of multiple indirect taxes and by simplifying compliance through a technology-driven platform.

Pre-GST Era: Indirect Taxes Replaced by GST

Before the implementation of GST, India had a complex and fragmented indirect tax structure involving both central and state taxes. GST consolidated most of these taxes into a single system.

List of Key Indirect Taxes Replaced or Subsumed by GST

  • Excise Duty (applicable conditionally on petroleum products & tobacco)
  • Customs Duty (still applicable on imports/exports — not subsumed under GST)
  • Central Sales Tax (CST)
  • State Value Added Tax (VAT) (still applicable on alcoholic liquor, fuel, etc.)
  • Purchase Tax
  • Luxury Tax
  • Entertainment Tax (other than levied by local bodies)
  • Entry Tax (All forms)
  • Cesses and Surcharges related to supply of goods/services
  • Taxes on Advertisements
  • Taxes on Lotteries, Betting and Gambling

Note: Customs Duty, State Excise on alcohol, and VAT on petroleum products are still applicable conditionally, as they fall outside the scope of GST as per the Constitution (101st Amendment) Act, 2016.

Types of GST and Their Applicability

Under the GST framework, the nature of supply (inter-state or intra-state) determines the type of GST applicable:

Levied by the Central Government on intra-state supply of goods and services (alongside SGST).

Levied by the State Government or Union Territory Administration on intra-state supplies.

Levied by the Central Government on inter-state supply of goods and services, including:

    • Imports into India
    • Exports (zero-rated)
    • Supply to or from SEZ units

Features and Benefits of GST:

Unified national market with seamless input tax credit

Boost to Make in India and ease of doing business initiatives

Simplified compliance process through a centralised GSTN portal

Improved transparency and reduced tax evasion practices

Elimination of tax-on-tax or cascading effect significantly

Areas of Practice – GST Services Offered by Our Firm

Our firm provides comprehensive GST consulting, compliance, and audit services designed to help businesses across industries comply with the GST law, reduce litigation risks, and optimize their tax positions.

  • Classification of products/services under correct HSN/SAC codes.
  • Analysis of place of supply, time of supply, and valuation rules.
  • Advisory on input tax credit (ITC) eligibility and reversals.
  • Industry-specific GST treatment (e.g., real estate, e-commerce, export, hospitality, manufacturing, etc.)
  • Preparation and filing of:
    • GSTR-1 (Outward supplies)
    • GSTR-3B (Summary return with payment of tax)
    • GSTR-9 (Annual return)
    • GSTR-9C (Reconciliation Statement / Audit)
  • Ensuring ITC reconciliation with GSTR-2B and GSTR-3B
  • Filing of Nil returns, amended returns, and resolution of errors
  • Conducting internal and external GST audits under Section 65 & 66.
  • Review of:
    • Input/output reconciliation
    • ITC reversals and blocked credits
    • Reverse charge compliance
  • Preparation of audit reports for management and stakeholders
  • Representation before:
    • GST Authorities, Appellate Authorities, and Tribunals
  • Reply to Show Cause Notices (SCNs), summons, and departmental queries
  • Legal support in GST appeals and disputes resolution
  • End-to-end GST implementation for new and existing businesses
  • Migration from legacy VAT/Excise/Service Tax to GST
  • Business restructuring to optimize tax incidence and compliance cost
  • GST registration for:
    • Regular taxpayers
    • Casual taxable persons
    • E-commerce operators
    • Non-resident taxable persons
  • Support with:
    • Amendment of registration
    • Surrender/cancellation
    • Multi-state registrations
  • Filing of LUT under GST for export of goods/services without payment of IGST
  • Preparation of Export Bond where LUT is not applicable
  • Advisory on zero-rated supplies, SEZ transactions, and refund claims