GST, or Goods and Services Tax, is a duty we pay when we buy goods or services. It helps the government collect plutocrats for roads, seminaries, and hospitals. GST is divided into four types. Let’s Only understand them!
1. What is CGST(Central Goods and Services Tax)?
CGST is a duty collected by the Central Government.
When is it used?
It applies when you buy goods or services within the same state.
illustration
still, part of the duty you pay goes to the central government as CGST, If you buy a toy in your megacity.
2. What is SGST( State Goods and Services Tax)?
SGST is a duty collected by the State Government.
When is it used?
It applies when goods or services are vented within the same state.
illustration Using the toy illustration, another part of the duty goes to your state as SGST.
3. What is IGST( Integrated Goods and Services Tax)?
The Central Government collects IGST, but the plutocrats participate between countries.
When is it used?
It applies when goods or services are vented between two different countries. illustration still, IGST will be charged, If you live in Delhi and buy commodities from Mumbai.
4. What is UTGST( Union Territory Goods and Services Tax)?
UTGST is like SGST but is collected by Union homes rather than countries.
When is it used?
It applies when goods or services are vented within a Union Territory.
UTGST will still be applied, If you buy a commodity in Chandigarh.
Quick Recap
CGST Central Government( within the same state)
SGST State Government( within the same state)
IGST Between two countries
UTGST For Union homes