GST full form: Goods and Services Tax

How to say it: letter by letter.

GST stands for Goods and Services Tax. It is the tax charged in India when goods are sold or services are supplied. It came into force on 1 July 2017 and replaced a long list of earlier indirect taxes, including central excise duty, service tax and the value added tax of the states.

How it works, in simple words

GST is collected at each stage, from the manufacturer to the wholesaler to the shopkeeper. Each business pays tax on what it sells but takes credit for the tax it already paid on what it bought. In the end the tax falls on the final buyer, and the same goods are not taxed twice.

CGST, SGST and IGST

• CGST: Central Goods and Services Tax, the central government's share on a sale within a state.
• SGST: State Goods and Services Tax, the state's share on the same sale.
• IGST: Integrated Goods and Services Tax, charged on sales from one state to another and on imports.
• UTGST: Union Territory Goods and Services Tax.

On a bill for a sale inside one state you will see the tax split into two equal halves, CGST and SGST.

Other full forms on a GST bill

• GSTIN: Goods and Services Tax Identification Number, the 15-character number of the seller.
• HSN: Harmonized System of Nomenclature, the code that classifies goods.
• SAC: Services Accounting Code, the code for services.
• ITC: Input Tax Credit.

Rates

Different goods and services are taxed at different rates, and some are exempt. The rates are decided by the GST Council and are changed from time to time, so check the current rate on the official GST portal or with a tax professional.

More banking full forms

• POS Point of Sale
• CIBIL Credit Information Bureau (India) Limited
• UTR Unique Transaction Reference
• DD Demand Draft
• MSME Micro, Small and Medium Enterprises
• HUF Hindu Undivided Family
• CASA Current Account Savings Account
• NRI Non-Resident Indian

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Check what matters. These pages explain names and terms in general. Rules, dates, fees and limits change: take them from the official body. Read on 12 November 2026.