GST (Goods and Services Tax)
What is GST? India's tax on goods and services, collected in the state where they are consumed. It is split into CGST and SGST within a state and IGST between states, and filed through GSTR returns.
In plain words
GST is India's single tax on the supply of goods and services. Each seller charges it on sales and claims credit for the GST paid on purchases, so tax is paid only on the value each business adds.
Within a state, the tax is split equally into CGST (for the Centre) and SGST (for the state). Between states, it is charged as IGST. Registered businesses report their sales and purchases through GSTR returns on the GST portal.
A trader sells goods worth ₹1,00,000 and buys goods worth ₹60,000. The rate of 18% is for illustration. The real rate depends on the item.
| Within a state | Between states | |
|---|---|---|
| Tax on sales | CGST ₹9,000 + SGST ₹9,000 | IGST ₹18,000 |
| Credit on purchases | CGST ₹5,400 + SGST ₹5,400 | IGST ₹10,800 |
| Payable | ₹3,600 + ₹3,600 | ₹7,200 |
Rates, due dates and rules change. Confirm anything statutory with your CA.
Why it matters
- Cash: tax is paid by the due date from your own funds, before customers may have paid you.
- Credit: your input credit depends on your suppliers filing correctly, so mismatches turn directly into tax cost.
- Penalty: late filing carries interest and a fee, and wrong claims bring notices.
Want to see a month's invoices become a GST summary? Ask us to run one on a sample.
How Kinnow handles it
In Sell, Kinnow works out the tax split from the place of supply. Comply prepares the e-invoice, the e-Way bill, the GSTR-1 and GSTR-3B upload files, a GST summary (tax on sales against credit on purchases) and the GSTR-2B check. Documents it cannot include are listed by name, not guessed.
Kinnow prepares the return and the file for upload to the portal. A person reviews and files it. It will not let you mark a GSTR-1 or GSTR-3B as filed until the GSTR-2B check has been run for that month. Nothing is filed, paid or posted without a person.
Limit: Kinnow does not file on the portal for you, and your CA decides rates, credit eligibility and anything unusual.
Tell us your GSTINs and states and we will show how the return preparation would run.
Questions
What is GST?
India's tax on goods and services, collected in the state where they are consumed. It is split into CGST and SGST within a state and IGST between states, and filed through GSTR returns.
Who has to register for GST?
It depends on turnover, what you sell and where. Some businesses must register whatever their turnover. Ask your CA before deciding not to register.
Does Kinnow file my GST return?
No. Kinnow prepares the return and the upload file from your books and lists mismatches to clear. A person reviews and files on the portal.