GST is here: After 11 years of wait, midnight tryst with tax reform

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After a gestation period of 11 years, the biggest tax reform in independent India, the goods and services tax (GST), finally became a reality on Friday midnight. The GST replaces 17 different central and state taxes, including services tax, value-added tax, octroi, duties and other charges, except Customs levy.

All goods and services have been slotted under six tax rates: 0 per cent, 3 per cent (for bullion), 5 per cent, 12 per cent, 18 per cent, and 28 per cent. There is also a cess, over and above the highest rate, for some goods.

Hours before the new indirect