The government of India has introduced GST (Goods and Services Tax) on 1st July 2017. India is stepping in various campaigns to make various developments. Earlier there were several taxes which were followed by the taxpayers. But now GST has been implemented which has helped to reduce the cascading taxes under one tax.
Here in this article, we will have a look at benefits of GST registration.
GST has already relieved the consumers by reducing the amount of several taxes. Following mentioned are the GST benefits:
- Registration for higher annual income.
Earlier, the registration was done under the tax like VAT(Value Added Tax), Service Tax. If the annual turnover would exceed 5 lakh rupees then the taxpayer has to register under VAT and when the turnover exceeds 10 lakh then they have to register under Service Tax.
But since 1st July 2017, every taxpayer has to register themselves under one tax which is GST and the annual turnover should be 20lakh above.
- Removal of cascading effects of tax
GST removes the cascading effects of tax which means earlier the taxpayer had to pay several taxes. GST has helped to reduce the payment of different tax and now various tax has come under one tax.
- Demand and consumption exceeded
As soon as GST was introduced, there has been a vast increase in demand and consumption. This is working as a cycle which is beneficial for everyone, increase in demand and consumption has lead to an increase in the production.
- Controlled circulation of black money
A mandatory checking is done for the reduction in the process of circulation of black money done shopkeepers etc.
- Registration process simpler
The taxpayer can register himself under GST with a hassle-free procedure. It is possible to get registered under GST with offline as well as online procedure.
- A decrease in the prices of goods and services
There is a vast decrease in the pricing of goods and services after GST was introduced. This is the most beneficial thing for a common person.
Get to know detailed information about GST and GST registration from experts. You can visit the Online GST portal for detailed information.