Final Calculation
GST Calculator - Calculate Your Goods and Service Tax Amount
Goods and Services Tax (GST) has made tax calculation simple and easy for taxpayers since its introduction in 2017. Knowing the tax slab a product falls under, one can easily determine the applicable GST. This increased transparency allows taxpayers to understand how much tax is paid at each production stage. One must first know the tax and its aspects to understand the GST and its calculation well. To determine this calculation, a buyer and the seller or service provider can use the GST calculator in India.
Here’s a lowdown to guide you:
GST Calculation Formula
There are four main GST slabs: 5%, 12%, 18%, and 28% for most products and services. Multiply the taxable amount (price before tax) by the applicable GST rate. So, the formula will be:
If a price already includes GST (inclusive price), you can use a formula to remove the GST and calculate the price excluding GST (exclusive price).
Calculating Intra-state GST
For intrastate transactions, you'll calculate both Central GST (CGST) and State GST (SGST) or Union Territory GST (UTGST).
Calculating Inter-state GST
For interstate transactions, you'll calculate the Integrated GST (IGST) using this method. In this case, the CGST and SGST/UTGST rates are each half of the total GST rate. The sum of CGST and SGST/UTGST will equal the total GST amount.
Example of GST Calculation
Let's calculate the net price for a Rs 200 product with 18% GST: The GST amount will be 200 x 18% = Rs. 36.The net amount you’d have to pay would be: Rs 200 + Rs 36 = Rs. 236
Similarly, if you need to calculate the amount by removing GST:
- Price Including GST: Rs 200 (the total price you see on the bill)
- GST Rate: 18% (applicable GST for the item)
Net Price = Rs 200 / (1 + 18/100)
Net Price = Rs 200 / (1.18)
Net Price = Rs 169.49 (approx.)
Therefore, the net price of the item before GST is approximately Rs 169.49.
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How to Use GST Rate Calculator
Using a GST calculator online is a straightforward process, and most calculators have similar input field.
Follow this step-by-step guide:-
Input the Taxable amount or the price of the good or service before GST is applied.
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Enter or select the GST applicable to the product or service from the drop-down list (5%, 12%, 18%, or 28%).
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Select whether it’s GST Inclusive or GST Exclusive.
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Click on Calculate.
Some calculators specify CGST & SGST/UTGST separately (for intra-state transactions). Calculators usually also give you the breakdown of the calculation according to SGST and CGST.
Advantages of GST Calculator
Online and easy GST calculators offer several advantages for taxpayers: