What are SGST, CGST, IGST and UTGST? A point-by-point guide on when is which applicable

Do you know all the four types of Goods and Services Tax (GST)? Here's a lowdown on IGST, UTGST, CGST and SGST for you.

Central Goods And Service Tax (CGST) is a tax levied by the central bank on the intrastate supply of goods and services and it is collected by it for its treasury.

Goods And Service Tax (GST), also known as value added tax, is a single indirect tax for the country. This tax is added to the final price of the product. There are four types of GST- IGST, SGST, CGST, UTGST. Here's how the four types of GST vary from each other and when they are applicable —

What is IGST and when it is applicable?

Integrated Goods And Service Tax, or IGST, is a tax which is levied on all the interstate supplies of goods and services or the supply of good and services between two or more states or union territories. Levy and collection of IGST is governed by IGST Act, 2017, which is amended from time to time.
IGST is applicable on all the supplies of goods and services whether it is import into India or export from India.
Under IGST, exports would be zero-rated and tax will be shared between central government and the state government.

What is CGST and when it is applicable?

Central Goods And Service Tax, or CGST, is a tax which is levied by the Central government on the intrastate supply of goods and services and it is collected by it for its treasury. Levy and collection of CGST is governed by CGST Act, 2017, which is amended from time to time. With CGST, SGST is also levied on intrastate supply of goods and services but it is decided by the state government. Both the taxes are applied together and both state government and central government decide the tax together.
In section 8 of CGST Act, 2017, it is mentioned that the tax will be levied on the intrastate supply of all the goods and services but it should not exceed 14%. Any tax liability which is obtained under CGST can be set off against CGST or IGST input tax credit only and it can not be under SGST.

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What is SGST and when it is applicable?

States Goods And Service Tax, or SGST, is a tax levied on the intrastate supply of goods and services by a particular state government where the product sold is consumed. Levy and collection of SGST is governed by SGST Act, 2017, which is amended from time to time. After the introduction of SGST, all the state taxes such as luxury tax, entry tax, and more were merged and combined as SGST.
Any tax liability which is obtained under SGST can be set off against SGST or IGST input tax credit only and it can not be under CGST.

What is UTGST and when it is applicable?

Union Territory Goods And Service Tax, or UTGST, is a tax levied by the Union territory governments on the intra-union territory supply of goods and services. Levy and collection of UTGST is governed by UTGST Act, 2017, which is amended from time to time. It is levied together with CGST.
UTGST is applicable to the supplies which take place in the following union territories-