Understanding the GST System in India: An Infographic

The Goods and Services Tax (GST) system in India is a complex and multi-layered tax structure that can be difficult to understand, especially for those who are not familiar with the intricacies of tax laws.

GST is levied at every stage of the supply chain, from manufacturing to the final sale, but the consumer pays only the final tax amount. The unique feature of GST is the input tax credit mechanism, which allows businesses to claim a credit for the tax they have paid on their inputs, thus avoiding double taxation.

When a business sells a product or service, it charges GST on the sale price. GST is divided into three types: Central GST (CGST), State GST (SGST), and Integrated GST (IGST).

To help simplify the process and provide a better understanding of how the GST system works in India, we have created an informative infographic that highlights the key components and procedures involved in the system.

The infographic provides a step-by-step explanation of the GST system in India, starting from the manufacturer to the retailer. It also highlights the different types of GST taxes, including CGST, SGST, and IGST, and explains how they are applied.