Easily calculate GST with our free online Easy GST Calculator. Enter amount, choose rate, inclusive or Exclusive GST and instantly know much tax to charge client anywhere worldwide.

How to Easy Calculate GST in India a Simple Guide

GST (goods and Service Tax) is single indirect tax that applies to the supply of good and service in India. It replied many old tax like VAT, service tax and excise duty. Since it’s introduction in July 2017 GST has made in tax system more transparent and easily to understand.

If you run a business or even if you a customer, it is important to know how to calculate GST. Many people find is confused a first but the process is actually very simple once you understand the basics.

In this article we will explain step by step how to calculate GST in India, what type of GST exist and how to use Easy GST calculator tool to say time.

Type of GST India

There are four types of GST that are currently active in India. The type that applied depends on whether the supply is within the same state or between two different states.

1.CGST (Central goods and service tax)

This is collect by the central government when a transaction happens within the same state

2.SGST (state goods and service tax)

This is collect by the state government on the same interstate transaction for example, if you sell good within Indore, both CGST and SGST will apply.

3. IGST (integrated goods and service tax)

This is charge on interstate transaction, meaning when goods or service move from one stage to another state. The central government collects IGST and later shares a part with the state.

4. UTGST (Union territory goods and service tax)

This applies when goods or service are supplied a within union territory such as Chandigarh Lakshadweep or Andaman and Nicobar Islands.

How to calculate GST manually?

The GST rate in India can be 5%, 12%, 18% or 28%, depending on the type of goods or service to calculate GST you first need to know the applicable rate.

There are two case

1. GST Exclusive Amount (when price turn not including GST)

Formula:

GST Amount = (Original Price × GST Rate)/100

Final Price = Original Price + GST Amount

2.GST Inclusive Amount (when price already included GST)

Formula:

GST Amount = Original Price – [Original Price × (100 / (100 + GST Rate))]

Example:

If the price of the product is Rs.1180 and it includes 18% GST,

GST amount = 18 – [180 × 100 / 180] = Rs.180

Basic price 1000

Why Use a Calculator?

Doing this calculations every time can be time-consuming, especially of business that deal with hundreds of invoices. This is where a GST Calculator Tool helps.

With a GST calculate:

You can quickly find the GST amount.

If work for both inclusive and inclusive GST.

If help you split GST into CGST. SGST or IGST depending on your transaction.

It reduces errors and save time.

All you need to do enter the amount and GST rate. That calculator will show the taxable value, GST amount and total value instantly.

Example of GST Breakdown

Let’s say you sell goods worth Rs.50000 within the same state at 18% GST.

CGST = 9% = 4500

SGST = 9% = 4500

Total GST = 9000

Final invoice value = Rs.59000

If the same sale was interstate, IGST would apply:

IGST = 18% = 9000

Final invoice value =59000

GST Calculation in India is straightforward once you know the say of GST and the applicable rate. You can calculate manually using formulas, but the fasted and most accurate way is to use a GST Calculator Tool. This tool not only helps businesses prepare invoices correctly but also ensure customers know exactly how much tax they are paying. Whether it is CGST, SGST, IGST or UTGST, understanding the basic of GST will make your transactions smoother and more transparent.