Learn about UTGST full form whole information in 2020

We discuss a lots about GST, and their types are SGST, CGST, IGST full form; this also includes UTGST full form, which means to be Union Territory Goods and Services Tax.

This act also vested on 1st July 2017 as above other acts. Let’s made a small discussion about UTGST full form.

UTGST full form, as we see in the name of this complete form, reflects Union Territory. The first explanation we began with the meaning of Union Territory.

History of Union Territory:

In the far time ago, at the time India becomes independent in 1947 the about 565 states separated.

In this separation, all state is bound in one country but some small states which are not part of India at the time of independence.

Those territories which are not compatible for formation in a state as per the terms and condition of state describe in the Constitution India.

After that, the region has not capable as a state because of having not stable and balanced in the economic sector, the financial industry, etc.

This observation made by the government decided to those states not survive without the help of the Union Government.

Hence, the territories under controlled of the Union Government, all rules of the Central Government directly applied on those territories.

That is why the territories called as “Union Territories.”

Note:- This recommendation made by the State Reorganisation Commission in 1956.

Applicability on Jammu & Kashmir and Ladakh:

Union Territories in India:

In India several Union Territories are seven there are as following:

  • Chandigarh
  • Delhi
  • Daman and Diu & Dadra and Nagar Haveli
  • Pondicherry or Puducherry
  • Lakshadweep
  • Andaman and Nicobar
union territory

Note: On Delhi and Pondicherry not included in the criteria of UTGST, it considered as State in UTGST.

State versus Union Territory:

States having their governments instead of union territories are under the control of the Central Government.

Delhi and Pondicherry have union territories with their legislative assembly. Hence they are not applicable for UTGST.

Union territories directly ruled under there appointed Governor by the Central Government. (A Lieutenant Governor.)

Note: UTGST on applicable to those union territories who have without legislative power that means only Five UT’s applicable under UTGST.

UTGST full form levied on:

  • UTGST levied on all intrastate supply of goods and services between two territories.
  • The amount excludes alcoholic liquor for human consumption.
  • Supply of natural gas, petroleum crude, high-speed diesel, motor spirit, and aviation turbine fuel on all UTGST levied.

Rates of UTGST:

GST council recommended to the Central Government to get notified with slab rate of UTGST at the rate of 0%, 0.125%, 1.5%, 2.5%, 6%, 9% and 14%.

Rates of UTGST are at the highest-paid rate is at 20%.

At the present date, after the break down of article 370 on Jammu and Kashmir. Ladakh and Jammu & Kashmir announced as Union territories.


Hence, now India having Eight Union Territories where Jammu and Kashmir its legislature while Ladakh without legislative assembly.

In short, the Ladakh levied for UTGST as per the conditions of UTGST.

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