FAQs

Keeping in mind the federal structure of India, there will be two components of GST – Central GST (CGST) and State GST (SGST). Both Centre and States will simultaneously levy GST across the value chain and GST will be levied on every supply of goods and services. Centre would levy and collect Central Goods and Services Tax (CGST), and States would levy and collect the State Goods and Services Tax (SGST) on all transactions within a State. The input tax credit of CGST would be available for discharging the CGST liability on the output at each stage and then IGST . Similarly, the credit of SGST paid on inputs would be allowed for paying the SGST &  then IGST on output. Credit of IGST paid on inputs will be available for paying IGST, CGST & SGST.  No cross utilization of credit would be permitted.

At the Central level, the following taxes are being subsumed:

1. Central Excise Duty,
2. Additional Excise Duty,
3. Service Tax,
4. Additional Customs Duty commonly known as Countervailing Duty, and
5. Special Additional Duty of Customs.

At the State level, the following taxes are being subsumed:

1. Subsuming of State Value Added Tax/Sales Tax,
2. Entertainment Tax (other than the tax levied by the local bodies), Central Sales Tax (levied by the Centre and collected by the States),
3. Octroi and Entry tax,
4. Purchase Tax,
5. Luxury tax, and
6. Taxes on lottery, betting and gambling.

The Central GST and the State GST would be levied simultaneously on every transaction of supply of goods and services except on exempted goods and services, goods which are outside the purview of GST and the transactions which are below the prescribed threshold limits. Presently, exemption limit is fixed at Rs.5,000/- per day per transaction either supply ogf goods or services by a business entity. Further, both would be levied on the same price or value unlike State VAT which is levied on the value of the goods inclusive of Central Excise.

In case of inter-State transactions, the Centre would levy and collect the Integrated Goods and Services Tax (IGST) on all inter-State supplies of goods and services. The importing dealer will claim credit of IGST while discharging his output tax liability (both CGST and SGST) in his own State.

For the implementation of GST in the country, the Central and State Governments have jointly registered Goods and Services Tax Network (GSTN) as a not-for-profit, non-Government Company to provide shared IT infrastructure and services to Central and State Governments, tax payers and other stakeholders. The key objectives of GSTN are to provide a standard and uniform interface to the taxpayers, and shared infrastructure and services to Central and State/UT governments.

GSTN is the common GST portal providing frontend services of registration, returns and payments to all taxpayers, as well as the backend IT modules for certain States that include processing of returns, registrations, audits, assessments, appeals, etc. All States, accounting authorities, RBI and banks, are also preparing their IT infrastructure for the administration of GST.

There would no manual filing of returns. All taxes can also be paid online. All mis-matched returns would be auto-generated, and there would be no need for manual interventions. Most returns would be self-assessed.

IGST will be levied on all imports into the territory of India. The Additional Duty of Excise or CVD and the Special Additional Duty or SAD presently being levied on imports will be subsumed under GST. However, petroleum products like Petrol, Diesel and ATF will be outside the purview of GST and will continue to attract CVD/SAD/VAT.

The major features of the proposed registration procedures under GST are as follows:

1. Existing dealers: Existing VAT/Central excise/Service Tax payers need not to apply a fresh for registration under GST.
2. New dealers: Single application to be filed online for registration under GST.
3. The registration number is PAN based and serves the purpose for Centre and State.
4. Unified application to both tax authorities.
5. Each dealer to be given unique ID GSTIN.
6. Deemed approval within three days.
7. Post registration verification in risk based cases only.

All suppliers/vendors are requested to furnish GST provisional ID No, Provisional ID Certificate and HSN/SAC No. of the items under procurement / order to Commercial/Purchase section. Alternatively, details can be also submit the GST Cell (format can be download through GSL website >GST>GSL Vendor Details Template).

Vendors has to timely raise invoices, file monthly and yearly returns as per GST Law flawlessly to avail ITC benefits.

GSL’s Provisional ID is 30AAACG7569F1ZR.

A GST Facilitation cell has been set up in the Goa Shipyard Limited to answer queries from businesses and clients regarding GST. The GST facilitation cell is headed by Shri Prasanna Sahu, Deputy General Manager – Finance (Email: psahu[at]goashipyard[dot]com, Tel : +91-832 2512152 – Extn-2415, +91-832-2513153. Direct Line).

The subsuming of major Central and State taxes in GST, complete and comprehensive setoff of input goods and services and phasing out of Central Sales Tax (CST) would reduce the cost of locally manufactured goods and services. This will increase the competitiveness of Indian goods and services in the international market and give boost to Indian exports. The uniformity in tax rates and procedures across the country will also go a long way in reducing the compliance cost.

HSN code and SAC Code for GSL’S Products and services are given as under: