The Central Goods and Services Tax (CGST) Act, 2017 -
The CGST Act, 2017, is the central law under the Goods and Services Tax framework, which is a comprehensive indirect tax system introduced in India.
The Central Goods and Services Tax (CGST) Act, 2017 The CGST Act, 2017 , is the central law under the Goods and Services Tax (GST) framework, which is a comprehensive indirect tax system introduced in India. The GST regime replaced multiple indirect taxes, such as VAT, Service Tax, and Excise Duty, creating a unified taxation system. Below are detailed and simplified notes tailored for UPSC Prelims preparation: Introduction Enacted : 12th April 2017. Implemented : 1st July 2017. Objective : To regulate and govern the taxation of goods and services at the Central Government level under the GST system. Constitutional Amendment : Facilitated by the 101st Constitutional Amendment Act, 2016 . GST works in the scenario you're describing, step by step: 1. Manufacturing within Karnataka (Intra-State Transaction): The company produces a product (e.g., a doll) in Karnataka worth ₹1,000. For an intra-state sale (sale within Karnataka), CGST and SGST are applied, and the tax is split equally:
CGST (Central …