Difference between Different Types of GST Taxes

Difference between Different Types of GST Taxes

Types of Differences	CGST	SGST	IGST	UGST/UTGST
Applicable transactions (Goods & Services)	Intrastate (Within one state)	Intrastate (Within one state)	Inter-state (between two states or one state and one UT) and imports	Within one Union Territory (UT)
Collected by	Central Govt.	State Govt.	Central Govt.	UT Govt.
Benefitting Authority	Central Govt.	State Govt.	Central Govt. & State Govt.	UT Govt.
Tax Credit Use Priority	CGST IGST	SGST IGST	IGST CGST SGST	UTGST IGST

Similar to every other type of tax, GST also has provisions to give the benefits of tax credits. The credits will be applicable to the subsequent taxes on the same product or service. All three IGST, SGST and CGST credits are usable against each other. Any IGST credit will be first used to deal with IGST tax, then CGST, and then to set off SGST.

You must also by now have understood the need for 3 different taxes; IGST is to ensure a smooth flow of tax credit between states; Dual taxes (CGST & SGCT) are there to ensure that both Centre and states get their deserving revenue.