Internship← Tally Prime with GST learning pathTally Prime with GST · Module 6 of 10
GST basics
Understand India's Goods and Services Tax.
📖 Key ideas
- GST started in India on 1 July 2017 and replaced many indirect taxes.
- Within a state: CGST + SGST. Between states: IGST.
- Common rates: 0%, 5%, 12%, 18%, 28%.
- A GSTIN is a 15-character GST registration number.
- Input Tax Credit (ITC) lets you reduce tax paid on purchases from tax on sales.
💡 Real-life example: GST is like a relay: each business passes on tax, and only the value added at each step is finally taxed.
CGST + SGSTTax on sales within a state
IGSTTax on sales between states
GSTIN15-character GST number
ITCCredit for GST paid on purchases