Add or remove GST from any amount with Indian tax rates.
Goods and Services Tax (GST) is a percentage added to the price of most goods and services in India. Businesses often need to do the calculation in two directions: add GST to a base price, or work backwards from a GST-inclusive price to find the original amount and the tax inside it.
A product costs โน1,000 before tax and attracts 18% GST. The GST is โน180 and the customer pays โน1,180. Going the other way, if a bill shows โน1,180 inclusive of 18% GST, the original price is 1,180 ร 100 รท 118 = โน1,000 and the tax is โน180. Many people wrongly subtract 18% from โน1,180, which gives โน967.60 and is incorrect, because the 18% applies to the original price, not the final price.
For a sale within one state, the GST is split equally between the Centre (CGST) and the State (SGST). On an 18% GST sale, that is 9% CGST plus 9% SGST. For a sale between states, the whole 18% is charged as IGST. The total tax is the same either way.
Rates depend on the item or service and are set by the GST Council, and they can change. Check the current rate for your HSN or SAC code on the official GST portal before invoicing.
Registered businesses can generally claim credit for GST paid on business purchases, subject to the conditions in the GST law. Speak to a chartered accountant for your situation.