Simplify your tax calculations and get instant results by entering your transaction details in this online calculator.
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Gross price
CGST Amount
IGST Amount
Total Tax
Total Production Cost
CGST Amount
IGST Amount
Total Tax
Total Production Cost
CGST Amount
IGST Amount
Total Tax
A GST calculator can help an individual determine the gross or net price of the product after accounting for the GST, which must be expressed in percentages. It has proven to save a lot of time for the parties involved and reduces the chances of human error while simultaneously computing the overall GST on goods and services.
With the unified taxation system, it is now possible for taxpayers to know the tax levied at different points for various goods and services under the GST regime. For GST calculation, the taxpayers can learn about different GST rates applicable on different categories that fall under the new tax structure. The different applicable GST slabs are: 5%, 12%, 18%, and 28%.
GST calculation can be explained by a simple illustration given below
Let’s assume that a product is sold at ₹1,000 and the applicable GST slab is 18%.
Then, the net price of the product becomes,
₹1,000 + (1,000x(18/100)) = ₹1,000+180 = ₹1,180
The following GST calculation formula enables businesses, manufacturers, wholesalers, and retailers to conveniently calculate the net price of the product after applying the GST.
Simple GST Calculation
Add GST: GST Amount = (Original cost x GST%)/100
Net price = original cost + GST amount
In order to remove the GST
GST amount = Original cost - [Original cost x {100/(100+GST%)}]
Ergo, Net price = Original cost - GST amount
The following tables demonstrate the manner in which goods and services were taxed in the pre- as well as the post-GST era for manufacturers, wholesalers, and businesses alike.
Rate (%) |
Amount |
|
Original cost of goods |
₹3,00,000 |
|
Applicable GST percentage |
18% |
₹54,000 |
Final Cost of goods sold (COGS) |
₹3,54,000 |
1. Calculation of GST for Manufacturers
Rate (%) |
Pre- GST |
Post- GST |
|
Original Cost of product |
₹40,000 |
₹40,000 |
|
Excise duty |
12% |
₹4,800 |
Nil |
Profit |
10% |
₹4,000 |
₹4,000 |
Total |
₹48,800 |
₹44,000 |
|
VAT |
12.50% |
₹6,100 |
Nil |
CGST |
6% |
Nil |
₹2,640 |
SGST |
6% |
Nil |
₹2,640 |
Final invoice to the wholesaler |
₹54,900 |
₹49,280 |
2. Calculation of GST for Wholesalers and Retailers
Rate (%) |
Pre- GST |
Post- GST |
|
Cost of product |
₹54,900 |
₹49280 |
|
Profit |
10% |
₹5,492 |
₹4,928 |
TOTAL |
₹60,392 |
₹54,208 |
|
VAT |
12.50% |
₹7,548 |
Nil |
CGST |
6% |
Nil |
₹3,252 |
SGST |
6% |
Nil |
₹3,252 |
Final invoice to the consumer |
₹67,970 |
₹60,712 |
GST Articles
- GST Penalties
- GST on Labour Charges
- GST on Gold Jewellery
- GST on Cars
- GST on Transportations
- GST on Restaurant
- GST on Clothes
- GST on Electronics
- GST on Mobiles
- GST on Healthcare
- GST on Education
- GST on E-commerce
- GST on Agricultural Products
- GST on Construction Materials
- GST on Food Grains
- GST on Dairy Products
FAQs
What is a GST calculator?
An online GST calculator is a tool that can be used to calculate the GST amount that is to be paid. However, one should know the rate under which the products and services are to be taxed (0%, 5%, 12%, 18%, or 28%).
Who can use the GST calculator?
The GST calculator can be used by a buyer, manufacturer, wholesaler, or retailer.
How can a buyer use the GST calculator?
The buyer needs to fill in the net price before GST and then enter the rate of GST. The total cost of production, CGST, SGST, and total tax will be calculated.
How can a manufacturer/wholesaler use the GST calculator?
For this, the manufacturer/wholesaler has to enter the cost of production/cost of goods, profit ratio percentage, and GST rate. This will display the total cost of production, CGST, SGST, and total tax.
What are the benefits of the GST calculator?
The online GST calculator is time-saving and reduces the chances of errors that can happen when tax is calculated manually.
