Equipping Modern Enterprises with Powerful GST & E-Way Bill Solutions

logo image
  • GST Filing & Reconciliation
  • E-Way Bill Automation
  • GSTIN Search & E-Way Bill APIs

IGST – Full Form, Meaning and Applicability

The IGST full form under GST law is Integrated Goods and Service Tax and the legalities regarding IGST is mentioned in the IGST Act 2017.

The extent of IGST Model offers significance to the GST Act of which IGST is one of the parts. The IGST Act explains that Center would impose IGST on all inter-state state movement of consignment.

The vendor carrying supply outside the state will pay IGST on value addition post adjusting the accessible credit of IGST, CGST, and SGST on the purchases made. What’s more, the exporting state will transfer the credit of SGST utilized in payment of IGST to the center.

Then again, the Importing vendor will avail credit of IGST while releasing his output tax liability in his own State. The Center will transfer the credit of IGST utilized in payment of SGST to the importing state.

The significant data will likewise be submitted to the Central Agency which will function as a clearinghouse instrument, verify the cases and informs the governments to move the funds.

What is IGST?

“Integrated Goods and Services Tax” (IGST) implies the tax levied under this Act on the supply of any goods or services or both for any inter-State exchange or trade and for this reason,

  1. Import of goods or services or both into the Indian Territory.
  2. Export of goods or services or both.
  3. Supplies to or from SEZs (Special Economic Zones).
  4. Supplies made to the international tourists.

Integrated goods and services tax (IGST) would mean the tax required under IGST Act on the supply of any goods and/or services in the course of inter-state exchange or trade.

IGST Act Origin and Commencement

The Act is known as the Integrated Goods and Services Tax Act, 2017 (in short IGST), an Act was passed to impose, gather and administer IGST in India.

This Act will is applicable to the entire of India, i.e., including the State of Jammu and Kashmir.

Key features of IGST Act 2017

Here are the key features of the IGST Act 2017:

  1. Continuation of uninterrupted ITC chain on inter-State exchanges.
  2. No prerequisite to pay tax upfront for the inter-State vendor or purchaser.
  3. Refund cannot be claimed of taxes paid in trading State, as ITC is spent while the payment of tax.
  4. Self assessing model.
  5. The streamlining function is constrained to inter-State dealers.
  6. Central and State Governments ought to have the option to streamline their procedures quickly.
  7. The IGST Model can take Business to Business (B2B) and Business to Consumer (B2C) exchanges into a record.

How to track IGST refund Status?

In case if a taxpayer wants to track the IGST refund status, he/she needs to follow the below-mentioned steps:

Step 1: Log into the GST portal using valid credentials.

Step 2: Go to to Services, click on the Refunds and choose track status option from the drop-down menu bar.

Step 3: Choose the FY (Financial Year) and Month from the pull-down list.

Step 4: Hit the SEARCH button.

Step 5: The taxpayer will be redirected to a new page showing the result of the same.