With the main India legislation now ratified for the implementation of a new Goods & Services Tax (GST), a number of steps must be undertaken before a roll out.
These include:
Establish a GST Council to review and conclude on launch details
Resolving the overlap between the new Central, State and Integrated taxes
Agree a country-wide rate for the new consumption tax. This is likely to be between 16% and 18%
Putting in place a dispute resolution and appeals processes
Determining details of pricing policies and tax calculations on inter-state transfers of goods
Confirm how input VAT credits will be matched to output VAT payments - a complex and controversial requirement for VAT reporting
Agree on implementation date - potentially sometime in 2017
Sales tax rates, rules, and regulations change frequently. Although we hope you'll find this information helpful, this blog is for informational purposes only and does not provide legal or tax advice.
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