Indirect Tax| Meaning and types of indirect taxes #Buildcareer

Short Summary:

This video explains indirect taxes, emphasizing that they are levied on goods and services rather than directly on individuals. Key indirect taxes discussed include GST (Goods and Services Tax), service tax, excise duty, VAT (Value Added Tax), custom duty, stamp duty, and securities transaction tax. The video uses the example of a button's price increasing from ₹100 at the factory to ₹130 at the retail level to illustrate how indirect taxes are passed on to the consumer. The implications are that consumers ultimately bear the burden of these taxes, and the video explains how various levels of government collect these taxes. The video details the application and calculation of each tax type, including the relevant acts and legislation.

Detailed Summary:

The video begins with an introduction to indirect taxes, defining them as taxes levied on goods and services, ultimately borne by the consumer. The speaker emphasizes that these taxes are not directly imposed on the taxpayer but are passed on through the supply chain.

The video then proceeds to explain various types of indirect taxes:

GST (Goods and Services Tax): The video explains that GST is a comprehensive tax encompassing many previously separate indirect taxes. It mentions that GST covers a wide range of goods and services.
Service Tax: This tax is levied on services provided, such as consultancy, legal services, and medical services. The speaker clarifies that it's collected by the central government from service providers.
Excise Duty: This tax is imposed on manufactured goods within the country. The speaker mentions the Central Excise Act of 1994 as the relevant legislation.
VAT (Value Added Tax): The video explains VAT as a tax on the value added at each stage of production and distribution. It's collected by both state and central governments. The speaker highlights the inter-state movement of goods as a key aspect of VAT.
Custom Duty: This tax is levied on goods imported into the country. The speaker refers to the Customs Act of 1962, outlining its role in regulating import and export procedures and the collection of customs duty.
Stamp Duty: This tax is levied on the transfer of movable property and documents. The speaker notes that the rates vary by state.
Entertainment Tax: This tax is levied on entertainment transactions and collected by state governments.
Securities Transaction Tax (STT): This tax is levied on transactions in the Indian stock market, including the purchase and sale of shares and other securities. The speaker mentions its introduction and purpose of reducing capital gains.

Throughout the video, the speaker uses the example of a button's price increasing as it moves through the supply chain to illustrate how indirect taxes accumulate and are ultimately paid by the consumer. No specific technical demonstrations are provided, but the explanation of each tax type is relatively detailed, including relevant legislation and the entities responsible for collection. The speaker encourages viewers to subscribe to the channel and check out other related content.