Indirect tax services basically refer to the taxes levied by the intermediary on consumers who bear the ultimate burden of paying the taxes to the government, by paying taxes to an intermediary, such as a retail store. Simply put, these are taxes which are not directly levied by the government. In indirect taxes, the economic burden shifts from one taxpayer to another.
Indirect tax services offer specified services regarding the taxes that can be levied in the form of sales tax, VAT (Value Added Tax), Sales tax, etc. what happens in this system is that a product is sold at a higher price that it was made it, after keeping a profit margin, and this price is paid by the consumers to the producers of the goods in the form of indirect taxes. The intermediary or seller of goods and services collects these very taxes and files for tax returns. Thus, basically, the consumers pay a higher price for the services they consumer.
A careful analysis of the costs and strategies needs to be done so as to ensure maximum tax efficiency. Indirect taxes affect the business line of all products greatly and hence, it’s recommended to explore indirect tax services for maximum tax optimization whenever possible, especially since India is moving towards the Goods and Services Tax regime from April 2016 onwards.
At Querease, we provide you access to well-trained and sharp professional who are indirect tax services experts. Seek professional advice on indirect taxation on our interactive website which are delivered through video chats. Find out more about them on Querease!