France is the first country to implement GST. Do you know why? As the tax evasion is high, GST was introduced in France in 1954. When the GST has been implemented in France, the tax on Goods and Service tax has been imposed as the indirect tax
levy on manufacture, sale, and consumption of goods as well as services in national level. What’s more about GST model in France?
France’s VAT model
comes up with four rates similar to the Indian GST structure. Since France is the first country, it has religiously stuck with four tax structures under the ratio 2:1 percent, 5.5 percent, 10 percent, and 20 percent respectively.
With multiple tax structures, France is really experiencing a breath-taking realm in item categorization. Though it is the scenario, any tax rate above 18 percent is arbitrary in nature.
Not only in France, as the days passed by, but GST has also been implemented in several countries including Russia, India, Germany, Italy. The GST rates range from 5 percent in Taiwan to 25 percent in Denmark. Recently, Saudi Arabia has implemented GST in 2018. Drizzle about current GST in other countries
As per recent news, GST council has finalized the tax rates for about 80 to 90 percent
of goods and services. It is applicable for the goods and services under four slab structure. In addition, the phase of daily use section kept under the low bracket of about 5 percent.
In upcoming days, GST will become a national sales tax
that has been levied on different countries.
In India, GST has made an impact thereby creating a scenario with One marketplace with one tax rate. All accounting firms are finding a great deal in dealing with the GST calculations.
Many firms have adopted the best option of buying Tally software
to deal with all their accounting needs including GST. Be clever and make all accounting hurdles simple. For more information, feel free to have a demo here at Mazenet Technologies
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