Tax, Accounting, and Finance Chronicle

CGST, IGST, and SGST are three components of the Goods and Services Tax (GST) system in India. The difference between them is as follows:

1. CGST: Central Goods and Services Tax (CGST) is a tax levied by the central government on the supply of goods and services within the country. The revenue collected from CGST goes to the central government, and the funds are used for the development of the country.
2. SGST: State Goods and Services Tax (SGST) is a tax levied by the state government on the supply of goods and services within the state. The revenue collected from SGST goes to the state government, and the funds are used for the development of the state.
3. IGST: Integrated Goods and Services Tax (IGST) is a tax levied by the central government on the inter-state supply of goods and services in India. Interstate supply refers to the supply of goods or services from one state to another state within the country. In such cases, IGST is levied in addition to the value of the goods or services, and the revenue collected from IGST goes to the central government.

In summary, CGST is levied on the supply of goods and services within the country, SGST is levied on the supply of goods and services within the state, and IGST is levied on the inter-state supply of goods and services.

CGST (Central Goods and Services Tax) and IGST (Integrated Goods and Services Tax) are two components of the Goods and Services Tax (GST) system in India. The difference between them is as follows:

1. Nature of Tax: CGST is a tax levied by the central government on the supply of goods and services within the country, while IGST is a tax levied by the central government on the inter-state supply of goods and services within India.
2. Revenue Collection: The revenue collected from CGST goes to the central government, while the revenue collected from IGST goes to the central government as well.
3. Application: CGST is applicable to the intra-state supply of goods and services, that is, the supply of goods and services within a state. On the other hand, IGST is applicable to the inter-state supply of goods and services, that is, the supply of goods and services from one state to another state.

In summary, CGST and IGST are two separate taxes with different application and revenue collection mechanisms. CGST applies to intra-state supplies, while IGST applies to inter-state supplies.

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