Introduction to GST and Taxation Concepts

These flashcards cover key vocabulary and concepts related to the Goods and Services Tax (GST) and taxation principles discussed in the lecture.

Tax

Compulsory exaction of money by public authority for public purpose, enforceable by law.

Indirect Tax (IDT)

Tax which is levied on a person but the burden falls on a different person.

Direct Tax (DT)

Tax that is levied or burdened on the same person.

Goods and Services Tax (GST)

Tax levied on supply of goods or services, excluding alcoholic liquor for human consumption and certain other specified goods.

CGST

Central Goods and Services Tax, applicable for intra-state transactions.

SGST

State Goods and Services Tax, applicable for intra-state transactions.

IGST

Integrated Goods and Services Tax, applicable for inter-state transactions.

Taxable Event

An event that triggers tax liability, which for GST is the supply of goods or services.

Cascading Effect

The phenomenon where tax is levied on tax (also known as tax on tax), which GST aims to eliminate.

GST Council

A governing body set up to make recommendations on matters related to GST.

Entry No. 82

Refers to taxes on income other than agricultural income in the Union List.

Article 246A

Describes the powers of Parliament and State Assemblies to make laws with respect to Goods and Services Tax.

Zero Rate Supply

Supply of goods and services that is taxable at 0% GST, typically applies to exports.

Residuary Article

Article that allows Parliament to make laws on any matter not covered by any list under the Constitution.

GSTN

Goods and Services Tax Network, provides IT infrastructure and services related to GST implementation.

Dual GST Model

The model of GST where both Central and State Governments levy GST on the same transaction.