IGST Model

INTEGRATED GOODS & SERVICES TAX ACT, 2017

IGST is levied and collected by the Centre on inter-state supply of goods and services. Under Article 269A of the Constitution, IGST on supplies in the course of inter-state trade or commerce is levied and collected by the Government of India and such tax shall be apportioned between the Union and the States in the manner as may be provided by Parliament by law on the recommendations of the Goods and Services Tax Council. IGST paid is available as credit to set off against the payment of IGST, CGST and SGST sequentially on output supplies

IGST (Integrated Goods & Services Tax) Act, 2017 deals with supplies interstate, import into India and supplies made outside India. The following table illustrates the same.

IGST is applicable all over India.

As per section 5 of IGST Act, 2017 a maximum rate of 40% maybe imposed on interstate supply of goods and/ or services.

A “Dual GST” model has been adopted in view of the federal structure of our country. Centre and States simultaneously levy GST on every supply of goods or services or both which, takes place within a State or Union Territory. Thus, there are two components of GST:

Ref:

1. Balachandran V - Indirect Taxes

2. ICAI - Indirect Taxes

3. ICSI - Indirect Taxes

4. ICMAI - Indirect Taxes

5. LPU - Indirect Taxes

6. ClearTax.Com

7. Taxmann.Com

8. TaxGuru.Com

9. Quora.Com

10. cbic.gov.in