Every value addition in the delivery of products and services in India is subject to the goods and services tax (GST), a comprehensive, multi-stage, destination-based tax. GST took the place of several indirect taxes, including excise duty, service tax, and VAT, when it was implemented on July 1, 2017.
The government levies income tax, a direct tax, on people and companies according to their earnings for the fiscal year. The Income Tax Act of 1961 governs India's income tax system.