Existing Taxes To Be Subsumed Under GST (Goods and Services Tax)

The GST would replace the following taxes:

indirect taxes to be merged in gst

(i) taxes currently levied and collected by the Centre:

  • Central Excise duty
  • Duties of Excise (Medicinal and Toilet Preparations)
  • Additional Duties of Excise (Goods of Special Importance)
  • Additional Duties of Excise (Textiles and Textile Products)
  • Additional Duties of Customs (commonly known as CVD)
  • Special Additional Duty of Customs (SAD)
  • Service Tax
  • Central Surcharges and Cesses so far as they relate to supply of goods and services

(ii) State taxes that would be subsumed under the GST are:

a. State VAT

b. Central Sales Tax

c. Luxury Tax

d. Entry Tax (all forms)

e. Entertainment and Amusement Tax (except when levied by the local bodies)

f. Taxes on advertisements

g. Purchase Tax h. Taxes on lotteries, betting and gambling

i. State Surcharges and Cesses so far as they relate to supply of goods and services.

Taxes To Remain

taxes remain after gst

Commodities proposed to be kept outside the purview of GST

The existing taxation system (VAT & Central Excise) will continue in respect of the following commodities.

  • Alcohol for human consumption
  • Petroleum Products viz. petroleum crude, motor spirit (petrol), high speed diesel, natural gas and aviation turbine fuel &
  • Electricity.

Status of Tobacco and Tobacco products under the GST regime

Tobacco and tobacco products would be subject to GST. In addition, the Centre would have the power to levy Central Excise duty on these products.

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