Thursday, August 4, 2016

GST The New Service Tax System With An Example

Posted by Sharath Chandra
Dear Friends,

Here I wanted to explain the new GST (Goods and Service Tax) with an easy example. This is for just understanding the overview of this Tax structure when you are comparing with the current tax system in India. If any changes please let us know we will address them. 

This example clearly explained by assumption of a particular product and at 10% as current and GST values. And this process I learnt from the EENADU Paper dated on 4/8/16  since it is a Telugu News Daily - I converted that into English flow chart for understanding better way. 

Before GST: 

Without GST

With GST: 
With GST

However this GST will be benefitable for some sections of the manufactures or some units - and there is also provision for State level tax so it might vary. This is for just explaining the new taxation. 

Please Share with your friends -because 
in Knowledge
Sharing is Gaining