Goods and Services Tax (GST) compliance refers to adhering to the rules and regulations set forth by tax authorities regarding the implementation and reporting of GST. GST is a value-added tax levied on the supply of goods and services at each stage of the supply chain, from production to consumption.
Compliance with GST involves several key aspects. Firstly, businesses must register for GST if their annual turnover exceeds the threshold set by tax authorities. Once registered, they are required to accurately calculate and collect GST on their sales, known as output tax, and claim credits for GST paid on their purchases, known as input tax.