CGST, SGST and IGST
Also searched as: CGST SGST IGST difference · CGST SGST meaning · IGST meaning · CGST and SGST on freight
CGST (Central GST) and SGST (State GST) are the two halves of GST on a supply within one state, each half of the total rate. IGST (Integrated GST) is the single tax on a supply between two states, equal to the total rate. For example 18% GST is 9% CGST plus 9% SGST inside a state, or 18% IGST between states.
Detailed Explanation & Statutory Rules
The total rate does not change; only the split does. On a freight invoice where the supplier's state and the place of supply are the same, show CGST and SGST in equal halves. Where they differ, show IGST alone. At 5% the split is 2.5% CGST and 2.5% SGST, or 5% IGST; at 18% it is 9% plus 9%, or 18% IGST. For GTA services the rate depends on whether forward or reverse charge applies, so see those pages. Under reverse charge the receiver pays the tax in the same split on its own return, and the GTA's invoice shows no GST charged but states that tax is payable on reverse charge. Bilty works out the split automatically from the states and the rate, and keeps the rates as configurable settings, not hard-coded values.
Practical Indian Freight Example
"A ₹50,000 freight at 18% GST (forward charge with ITC) within Gujarat gives ₹4,500 CGST + ₹4,500 SGST = ₹9,000 tax, total ₹59,000. The same ₹50,000 from Gujarat to a party whose place of supply is Maharashtra gives ₹9,000 IGST, total ₹59,000. The total is identical; only the split differs."
Key Questions & Answers
When is CGST+SGST charged and when IGST?
CGST+SGST when the supplier's state and the place of supply are the same state; IGST when they are different states.
What is 5% GST split into?
2.5% CGST + 2.5% SGST within a state, or 5% IGST between states.
CGST, SGST and IGST in Hinglish (Hindi in English letters)
CGST, SGST aur IGST me kya fark hai?
Same state ke andar CGST+SGST lagta hai, dono mil kar total rate hote hain. Do state ke beech IGST lagta hai, jo poora rate hota hai.
18% GST ka split kya hoga?
State ke andar 9% CGST + 9% SGST, ya state ke bahar 18% IGST.
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