How other countries do

More than 130 countries have introduced GST in some form.

It has been a part of the tax landscape in Europe for the past 50 years.

It is fast becoming the preferred form of indirect tax in the Asia-Pacific region.

It is interesting to note that there are over 40 models of GST currently in force, each with its own peculiarities.

While countries such as Singapore and New Zealand tax virtually everything at a single rate, Indonesia has five positive rates, a zero rate and over 30 categories of exemptions.

In China, GST applies only to goods and the provision of repairs, replacement and processing services.

It is only recoverable on goods used in the production process, and GST on fixed assets is not recoverable.

There is a separate business tax in the form of VAT.