GST is an indirect tax charged in India on the supply of goods and services. GST is a multi-stage, destination-based tax applied on all value additions. GST went into effect on July 1, 2017, and replaced most of the country's indirect taxes. GST categorises products and services into five special tax rates: 0%, 5%, 12%, 18%, and 28%. Some items, such as petroleum, alcoholic beverages, and electricity, are exempt from GST. According to the old tax structure, these items were taxed individually by various state governments.

Different types of Tax Heads Under GST

Central Goods & Services Tax or CGST, State Goods & Services Tax or SGST, Union Territory Goods & Services Tax (UTGST), and Integrated Goods & Services Tax (IGST) are the four types of GST (IGST).

IGST is levied on interstate supplies if the place of supply differs from the provider's location. For intrastate supplies where the site of supply is in the same State as the provider, an equal rate of CGST and SGST (roughly half the GST rate applicable for IGST) is levied.

Benefits of GST Application

The benefits of GST application are-

1. It contributes to the development of an international standard.
2. It has increased openness in the taxes system.
3. It contributed to the lowering of inflation.
4. Companies' manufacturing costs are reduced as a result of tax cuts.
5. The installation of GST may result in a reduction in tax obligations.
6. It has stopped commercial items from being taxed twice.

Benefits of GST Calculator

The benefits of the GST Calculator are-

• It allows users to calculate the net or gross product price based on GST rates.
• It allows users to distinguish between SGST, CGST, and IGST and precisely compute each tax.
• It saves time by delivering immediate results.
• It reduces the possibility of human mistakes when determining the cost of goods and services.
• It is simple to use and allows you to compute GST without difficulty.

GST Calculation Techniques

The techniques for GST calculation are listed below-

Addition of the GST amount- (Original Cost*GST%)/100Net Price= Original Cost+GST Amount.

Remove GST amount- Original Cost - [Original Cost x {100/(100+GST%)}]Net Price = Original Cost - GST Amount

GST Calculator

GST calculator is an easy-to-use online calculator for calculating the GST payable for a month or quarter. This calculator is useful for various users, including buyers, manufacturers, and distributors.

How to Calculate GST Rates?

Follow these easy steps to utilise the GST calculator:

Step 1: Enter the following information:

The net cost of a service or item and
GST rates that apply include 5%, 12%, 18%, and 28%.

Step 2: Press the 'calculate' button. ClearTax GST calculator will provide the tax amounts for each tax head (CGST, SGST, or IGST) and the final/gross price of the products and services to be billed.

GST Registration Process

The online GST Registration process involves the following steps:

Log in to the Official Portal of GST

To begin, the applicant should go to the official website, https://www.gst.gov.in/. The applicant must then click on the services option before proceeding to the new registration page. Next, the candidate would be led to the site, where they would be asked for login information and other details.

Fill in The Credentials

The candidate must next fill in the necessary credentials in the following stage. 

• Choose the appropriate state and district;
• The company's name;
• PAN of the company;
• Email address and phone number (All future messages will be received via the email address and mobile number).

Create TRN

On the following page, you will be prompted for the OTP that was provided to your email and cellphone number. Once the OTP has been entered, click the continue button. A Temporary Reference Number (TRN) will be presented on the screen.

Enter Captcha Details

The applicant would next be asked to enter the TRN and the Captcha picture presented in the following stage. The applicant must then click on the Proceed button. Finally, you will receive another OTP on your registered email address and phone number, which you must input before proceeding.

Submission of critical information

The application status will be visible on the next page. On the right side, there is an edit icon that allows you to input all required information.

Application Submission

Go to the verification page and check the declaration box. After that, you can submit the application using any of the ways available, such as electronic verification code, e-sign method, or in the case of organisations, DSC.

Reference Number for the Application

A successful submission message will be visible on the screen when you submit your form. The registered cellphone number and email address will also be issued as an application reference number. The GST site allows you to verify the ARN status.

Cancellation of GST Registration

A GST registration can be terminated by the registered person, the GST officer, or the registered person's legal successor in the event of death under GST. GST registration cancellation means that the individual is no longer registered under GST and is no longer required to pay or collect GST.

An officer can terminate a GST registration if the registered taxpayer does not do business from the listed location of the company, issues invoices or bills without supplying goods or services, thereby breaking the GST Laws, or if the individual has not completed GSTR in the recent 6 months.

Conclusion

GST registration is required for business organisations that meet the qualifying conditions for GST registration. In addition, the GST registration method is entirely electronic. As a result, companies would not have to go offline to complete this type of registration.