Constitution Amendment Bill in the Lok Sabha today with respect to Goods and Services Tax (GST)

 

Goods and Services Tax consolidates indirect taxes into dual CGST/SGST and IGST framework with place of supply rules. Constitutional amendment establishes a destination based Goods and Services Tax subsuming central and state indirect levies into a dual structure of CGST and SGST for intra State supplies and an Integrated GST (IGST) for inter State supplies and imports. A Goods and Services Tax Council will set rate bands, exemptions, model laws and dispute modalities. An IT driven GST Network, place of supply rules and cross utilisation of credits under the IGST model are core mechanisms to ensure seamless input tax credit and inter State fund settlement.