Lakshmi Kumaran & Sridharan taxAn ISO 9001 / 27001 certified law firm


Indirect taxes are taxes collected by an intermediary from the person who bears the ultimate economic burden of the tax. Direct taxes are collected directly from the person on whom tax is imposed. In India, both the Union Government at the federal level and the provincial or state governments impose various indirect taxes. Customs Duties, Excise Duties, Service Tax and Value Added Tax are examples of indirect tax that India levies. Indirect taxes occupied the numero uno position for a long time in the fiscal history of India. Being a major source of tax revenue for the governments at all tiers, administration of indirect taxes has been witness to different interpretations of provisions and consequential disputes. India is on the threshold of major reforms in this area as Goods and Services Tax (GST) is set to be introduced merging all indirect taxes.