<h1>Goods and Services Tax to subsume existing indirect taxes, broaden the tax base and enable seamless input tax credits.</h1> The proposal designates Goods and Services Tax to subsume state VAT, Central Sales Tax, Central Excise, Service Tax and other indirect levies; excludes alcoholic liquor for human consumption from GST while bringing specified alcohol products within GST and subjecting tobacco to GST alongside Central Excise, with rates to be set by the GST Council. The framework aims to simplify and harmonize indirect taxation, broaden the tax base, and promote compliance via a robust IT-enabled input tax credit mechanism.