A Study on Exemption under GST
Author : Pooja Shankar Pujari, Kashibai Amrut Pujari, Shankar Amrut Pujari and Shreedhar Digambar Joge
Abstract :
This research paper delves into the realm of exemptions under the Goods and Services Tax (GST) regime in India. GST, introduced as a comprehensive, destination-based tax system, has revolutionized the country's indirect tax structure. The paper provides an in-depth analysis of the genesis of GST in India and elucidates its features, including the single indirect tax, registration exemptions for small businesses, the four-tier tax structure, GST composition scheme, input tax credit system, invoice matching, consumption-based tax, anti-profiteering measures, competitive advantage, and digital compliance. Moreover, the advantages and disadvantages of GST are critically evaluated to understand its impact on the economy.
Furthermore, the paper delves into the intricacies of GST exemptions, categorizing them into goods and services. The concept of the negative list under GST is elucidated, and specific examples of exempt goods and services are provided. The study highlights the exemption criteria for various categories, including agriculturists, individuals falling within threshold turnover limits, supplies not covered under GST, reverse charge supplies, and services offered by employees to employers.
The research also explores the complexities and implications of GST exemption for businesses and individuals. The thresholds for GST exemption have been revised over time, with different limits applicable for goods and services, along with special provisions for hilly and northeastern states. The paper critically examines the impact of GST exemptions on sectors such as agriculture and education, recognizing the significance of maintaining a balance between promoting education and avoiding commercialization.
In conclusion, this study comprehensively analyzes the concept of exemption under GST, shedding light on its various facets and implications. It underscores the importance of striking a harmonious balance between economic growth, tax revenues, and social objectives while implementing exemptions within the GST framework. The findings of this research contribute to a deeper understanding of the complex tax landscape under GST and its impact on diverse sectors of the Indian economy.
Keywords :
Goods & Services Tax (GST), exemption, indirect taxes, threshold turnover, negative list, agricultural services, educational services
