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of <h1>Understanding GST: Consumption-Based Tax Applied at All Stages; Final Consumer Bears the Burden; Tax Credit Allowed</h1> Goods and Services Tax (GST) is a consumption-based tax applied to goods and services at all stages from manufacture to final consumption. It is a destination-based tax, meaning it is levied where the goods or services are consumed. The tax system allows for the credit of taxes paid at previous stages to be set off, ensuring that only the value addition is taxed. Ultimately, the tax burden falls on the final consumer.
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