How does the Indian tax system work

India simplifies tax system

New Delhi. The Indian parliament paved the way for one of the largest tax reforms in the country's history. The House of Commons passed laws to introduce the single tax on goods and services by July 1st. So far, the tax system has been shaped by dozens of state and central taxes and duties. Sales taxes, manufacturing taxes, service taxes or duties for importing goods into certain cities. Often there are several at the same time. Nevertheless, the new system is not a really uniform tax. It is divided into a portion of the central government, the states and a hybrid form when goods are delivered from one state to the other. dpa / nd

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