On 6 May 2015, India's lower house of parliament, Lok Sabha, passed the bill amending the constitution to allow for the introduction of a national goods and services tax (GST). The amendments confer powers to the country's federal and state governments to create GST legislation, and to create a GST council to advise on tax rates, threshold limits, and exemptions.
The bill also includes an overview of how GST would function, summarized as follows:
- GST will be a destination-based tax levied s…