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Nyaya Vidhiन्याय विधि · Indian Law, Lucid
Enacted 2017Tax LawsBrief

Central, State and Integrated Goods and Services Tax Acts, 2017

The GST framework: CGST levies central tax, SGST levies state tax on intra-state supply, and IGST handles inter-state and import supply. Together they replaced 17 indirect taxes.

Sections
174
Chapters
21
Tier
Tier 4

In one line

What this Act says

Replaced 17 indirect taxes with one nationwide Goods and Services Tax, levied jointly by the Centre (CGST) and States (SGST), with IGST on inter-state supply.

Penalties

What happens if you break it

  • Tax evasion / wrong ITC / fake invoices (amount > ₹5 crore)

    CGST §132(1)(i)

    Imprisonment up to 5 years + fine (cognizable & non-bailable).

  • Tax evasion of ₹2 crore – ₹5 crore

    CGST §132(1)(ii)

    Imprisonment up to 3 years + fine.

  • Tax evasion of ₹1 crore – ₹2 crore

    CGST §132(1)(iii)

    Imprisonment up to 1 year + fine.

  • Failure to register / file returns / pay collected tax

    CGST §122

    Penalty of ₹10,000 or amount of tax evaded, whichever is higher.

  • General penalty (no specific punishment elsewhere)

    CGST §125

    Up to ₹25,000.

Headline offences only — not exhaustive. For the full text and every section, open the source PDF or the official link below.

Key Sections & Penalties

GST Acts (CGST/SGST/IGST) at a Glance

SectionTypeProvisionApplicabilityDetails / Penalty
§CGST 7structural
Scope of supply
-Administrative / Structural
§CGST 9structural
Levy and collection of tax
-Administrative / Structural
§CGST 16structural
Eligibility and conditions for taking input tax credit
-Administrative / Structural
§CGST 22structural
Persons liable for registration
-Administrative / Structural
§CGST 132(1(i))criminal
Tax evasion / wrong ITC / fake invoices (amount > ₹5 crore)
-Imprisonment up to 5 years + fine (cognizable & non-bailable)
Non-Bailable, Cognizablehigh RISK

Maximum punishments as prescribed by the Act. Actual sentencing depends on facts, prior convictions and judicial discretion.

Sources

Read the Act yourself

We always show you the local source PDF and at least one verifiable online reference, so you can check anything we say.

Source PDF

GST Acts CGSTSGSTIGST, 2017.pdf

Full text · opens in new tab

Reference

Wikipedia

en.wikipedia.org · opens in new tab

Also see: CBIC GST

About this Act

Quick facts

Year
2017
Sections
174
Chapters
21
Tier
Tier 4
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