Introducing GST
 
        Q 1. What is Goods and Service Tax (GST)?   Ans. It is a destination based tax on consumption of goods  and services. It is proposed to be levied at all stages right  from manufacture up to final consumption with credit  of taxes paid at previous stages available as setoff. In a  nutshell, only value addition will be taxed and burden of  tax is to be borne by the final consumer.     Q 2. What exactly is the concept of destination based  tax on consumption?   Ans. The tax would accrue to the taxing authority which  has jurisdiction over the place of consumption which is  also termed as place of supply.     Q 3. Which of the existing taxes are proposed to be  subsumed under GST?   Ans. The GST would replace the following taxes:     (i) taxes currently levied and collected by the Centre:     a. Central Excise duty   b. Duties of Excise (Medicinal and Toilet  Preparations)   c. Additional Duties of Excise (Goods of Special  Impo...
 
