What is GST? How does it work?

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....s point upto the retailer's level. It is essentially a tax only on value addition at each stage, and a supplier at each stage is permitted to set-off, through a tax credit mechanism, the GST paid on the purchase of goods and services as available for set-off on the GST to be paid on the supply of goods 32 and services. The final consumer will thus bear only the GST charged by the last dealer i....

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....8377; 13 from the gross GST of ₹ 15 to the manufacturer. Similarly, when a retailer sells the same goods after a value addition of (say) ₹ 10, he pays net GST of only Re.1, after setting-off ₹ 15 from his gross GST of ₹ 16 paid to wholeseller. Thus, the manufacturer, wholeseller and retailer have to pay only ₹ 6 (= ₹ 3+Rs. 2+Re. 1) as GST on the value addition a....