Stealth • 13d
Abhi jab business wale yey tax pay karte for goods concerned with business purposes, woh log usko input tax bolte hai Just like my example of 100₹ and tax 10₹ abhi yey joh 10₹ ka tax woh log pay karte hai thats their expense aur woh iss pe profit nahi kamate hai, Jab woh uss raw material ko manufacture karke ek shirt key form mey market mey bhejte hai toh woh 100₹ pey apna profit laga te hai i.e 120₹ abhi unse bhi toh yey prduct koi purchase karega na, so they also charge some gst acc to our example 18₹ Abhi business ney ek tax pay kiya hai (10₹) and ek tax collect kiya hai (18₹) abhi agar yey dono amount business people gov ko bhej dey toh tax ki double counting hojayegi na Islie in dono ko subract karke gov key pass sirf 8₹ jaygey kyunki business has already paid 10₹ before toh joh unhone 18₹ collect kiya hai uske anadar sey only 8₹ is payable.
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Okay okay smja , great explanation btw hiral .
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