GST (Goods and services tax) is basically an Indirect tax which has been replaced by many Indirect taxes in India. It was actually passed in the Parliament on 29th March 2017 but the act came into effect on 1st July 2017 in India. GST is defined as the consumption tax where people who are engaged in the business whose annual turnover exceeds Rs. 40 lakhs is required to register as a normal taxable person. The regulations are applicable to everyone purchasing good and services at the same rate in India.