The new GST structure, implemented from September 22, 2025, as part of "GST 2.0" reforms, simplifies the previous multi-tier system into a 3-slab structure: 5%, 18%, and a 40% "sin & luxury" rate. This overhaul aims to reduce compliance burden, lower household costs, and boost consumption by removing the old 12% and 28% tiers.
The GST rates in India have been simplified to three main slabs: 5%, 18%, and 40%. The old 12% and 28% slabs have been largely eliminated, with most items from those categories being moved to the new 5% or 18% slabs.
As per the latest regulatory update, e-invoicing will be mandatory for credit notes issued by registered businesses under GST starting April 1, 2025. This requirement aligns with the ongoing digitization efforts by the government to ensure seamless tax compliance and reduce discrepancies in tax reporting.
India's new GST structure—5%, 18%, and 40%—strikes a balance between consumer affordability and government revenue needs. Essentials and durables are cheaper, insurance and medicines are tax-free, and luxury items face higher taxation.
1- The GST registration number. 2- The federal account number. The format for both numbers is 123456789RT1234 (15 characters, no spaces).
GST Number Format & Example
Here's a breakdown of what each part represents: "27" - The first two digits indicate the state code where the business is registered (in this case, 27 represents Maharashtra). "ABCDE1234F" - The following ten characters correspond to the business's Permanent Account Number (PAN).
Subtracting GST from Price
To calculate how much GST was included in the price, divide the total price by 11 ($1000∕11=$90.91). To calculate the price without GST, divide the price by 1.1 ($1000∕1.1=$909.09).
Types of GST in India
CGST (Central Goods and Services Tax) SGST (State Goods and Services. IGST (Integrated Goods and Services Tax) UTGST (Union Territory Goods and Services Tax)
Using the wrong tax codes or accounting method
Many GST mistakes are the result of using incorrect tax codes or the wrong accounting method: Tax codes: If a GST-free sale is coded as taxable in your accounting system, you'll pay GST unnecessarily. If a taxable sale is coded GST-free, you'll underpay.
• GSTR 3B is a summary return with revenue. implication. • GSTR 1 is a monthly/quarterly return with. invoice-wise outward supply details. • GSTR 2A is an auto-populated return.
For example, the information from your 2024 tax return determines the GST/HST credit amount you get for the payment period from July 2025 to June 2026. You could get up to: $533 if you are a single individual. $698 if you are married or have a common-law partner.
Several major income tax changes are scheduled to take effect from April 1, 2025. These revisions include changes to tax slabs and the implementation of a rebate up to Rs. 60,000.
For any standard-rated supplies of goods or services that you make on or after 1 Jan 2024, you must charge GST at 9%. For instance, if you issue an invoice and receive payments for your supply on or after 1 Jan 2024, you must account for GST at 9%.
Effective October 1st, 2025, a new set of rules for GST return filing will come into effect. This marks the first filing cycle under the GST 2.0 reforms, aimed at improving transparency, control, and accuracy in Input Tax Credit (ITC) management through the Invoice Management System (IMS).
For the July 2025–June 2026 benefit year, the maximum annual GST amounts are: $533 – Single individual. $698 – Married or common-law couples. $184 – Per eligible child under 19.
Major highlight was simplification of tax rates into two main slabs (5% & 18%) by removing 12% and 28%. Sin goods will be taxed at a new 40% GST. These changes are now live with notifications by the CBIC passed on 17th September 2025.
fees you pay that are associated with your bank like ATM fees, monthly account fees, or interest on your loans and credit cards do not include GST.
GST always payable
If the taxpayer has not passed on that amount to the recipient, excess GST is not taken to have always been payable and is therefore refundable. An amount of excess GST that has been passed on is taken to have always been payable, until the recipient of the supply has been reimbursed.
GST is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia. To work out the cost of an item including GST, multiply the amount exclusive of GST by 1.1. To work out the GST component, divide the GST inclusive cost by 11.
TABLE 4A, 4B, 4C, 6B, 6C - B2B INVOICES - RECEIVER-WISE SUMMARY. In this table, you can add details of taxable outward supplies made to registered person. Additionally, invoices auto-populated from e-invoices will be available in this table. This page provides you the receiver-wise summary of the already added invoices ...
(3) Any registered person who opts to pay tax under section 10 shall electronically file an intimation in FORM GST CMP-02, duly signed or verified through electronic verification code, on the common portal, either directly or through a Facilitation Centre notified by the Commissioner, prior to the commencement of the ...
When must I collect GST/HST? If your business earns more than $30,000 in gross income (what you earn before you deduct business expenses) during any 12-month period, you must get a GST/HST number and collect GST/HST from your customers.
You must register for GST if: your business has a GST turnover of $75,000 or more. your non-profit organisation has a GST turnover of $150,000 or more. you provide taxi or limousine travel (including ride-sourcing services like Uber or DiDi) regardless of your GST turnover.
10,000 and the applicable GST rate is 18%. Hence Mr X (recipient of goods) has to pay Rs. 10,000 to the supplier/dealer and the GST amount of Rs. 1,800 has to be paid to the government by him.