Full formGovernment & Exams
SGSTstands forState Goods and Services Tax
Full Form of SGST
What is SGST?
SGST stands for State Goods and Services Tax, a key component of the Goods and Services Tax (GST) system implemented in India on July 1, 2017. It is a tax levied by the state government on the intra-state supply of goods and services, meaning transactions that occur within the boundaries of a single state. Under the dual GST model, both the central government (via CGST) and the state government (via SGST) simultaneously tax the same transaction, with the total GST rate being split equally between them. For example, if the applicable GST rate is 18%, it is divided into 9% CGST and 9% SGST. SGST revenue is collected and retained by the respective state, replacing earlier state-level taxes such as VAT, entertainment tax, and luxury tax. It applies to all intra-state sales and services, ensuring a seamless tax credit chain. SGST is widely used in business invoices, tax filings, and compliance documentation. For competitive exams like UPSC, SSC, and banking, questions on GST structure, including SGST, are common, making it essential for aspirants to understand its role in India's tax framework.
SGST का फुल फॉर्म
राज्य वस्तु एवं सेवा कर
Example
The retailer issued an invoice showing a 12% GST slab: 6% CGST and 6% SGST, as the transaction took place entirely within Maharashtra.
SGST — frequently asked questions
What is the full form of SGST?
The full form of SGST is State Goods and Services Tax.
What is the difference between SGST and CGST?
SGST is levied by the state government on intra-state supplies, while CGST is levied by the central government on the same transaction. Both are equal in rate and applied together.
Who collects SGST in India?
SGST is collected by the respective state government under the GST regime, with the revenue retained by that state.