How Can You Calculate GST With This Tool?
1. Enter the Amount:
Start by typing the base price of the product or service in the "Amount" field. This is the price before any GST is added.
2. Select the GST Rate:
Next, choose the applicable GST percentage from the "GST (%)" dropdown menu. This could be 5%, 12%, 18%, or 28%, depending on the product or service you’re calculating for.
3. Choose Tax Type:
Select whether the GST is "Exclusive" or "Inclusive":
- Exclusive: This means the amount you entered does not include GST. The calculator will add the GST amount to your entered price.
- Inclusive: This means the amount you entered already includes GST. The calculator will determine the original price and the GST amount.
4. View Results:
Once you’ve entered the information, the tool will automatically display the calculated GST amount and the total amount below. This will help you see how much GST you need to pay and what the final cost will be.
All You Should Know About GST
The Goods and Services Tax (GST) is an indirect tax that was implemented in India on July 1, 2017. It applies to both goods and services, replacing the earlier system of indirect taxes.
A GST calculator is an online tool that simplifies the process of calculating GST for a particular month or quarter. It is helpful for different users, such as buyers, manufacturers, and distributors.
The GST inclusive amount refers to the total value of a product, which already includes the GST charge within the original price. The customer does not pay the tax separately.
In India, GST is divided into slabs from 5% to 28% based on product categories. 5% GST is charged on items like medicines, packaged food, and footwear. 12% GST applies to products like hair oil, processed foods, and computer accessories. 18% GST is for items like electronics, aerated drinks, and high-end cars. 28% GST is applied on luxury products such as high-end cars, watches, and tobacco.Essential items like milk, bread, and vegetables are free from GST to keep everyday essentials affordable.
The GST exclusive amount is the price of the product before the GST is added. It is calculated by subtracting the GST from the total GST inclusive value.
The GST calculator allows you to quickly calculate the gross or net price of products based on percentage GST rates. It saves time and minimizes the risk of errors in calculating the cost of goods and services.
In India, GST has four main types. CGST (Central Goods and Services Tax) and SGST (State Goods and Services Tax) are used for sales within the same state, collected by both the central & state governments. For sales between states, IGST (Integrated Goods and Services Tax) is applied, managed by the central government. Additionally, UTGST (Union Territory Goods and Services Tax) is used in Union Territories.
If GST is excluded in the net price:
GST Amount = (Original Cost*GST Rate)/100
Total Price = Original Cost + GST Amount
If GST is included in the net price:
GST Amount = Total Price - Original Cost
Original Cost = {Total price*[100/(100+GST Rate)]}
CGST = (GST amount)/2
SGST = (GST amount)/2
GST Amount = (Original Cost*GST Rate)/100
Total Price = Original Cost + GST Amount
If GST is included in the net price:
GST Amount = Total Price - Original Cost
Original Cost = {Total price*[100/(100+GST Rate)]}
CGST = (GST amount)/2
SGST = (GST amount)/2
