What is GST?
Goods and Services Tax is the indirect tax charged on most goods and services sold in India. It is added to the price of what you sell, collected from the customer, and paid to the government. The rate depends on what is being sold.
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Goods and Services Tax is the indirect tax charged on most goods and services sold in India. It is added to the price of what you sell, collected from the customer, and paid to the government. The rate depends on what is being sold.
Start from the price before tax, then add the GST on top. At 18%, a base price of ₹10,000 carries ₹1,800 of GST, so the customer pays ₹11,800. Choose Add GST when you know your price and need the amount to charge.
Removing GST works backwards from a price that already includes it — an MRP, for example, or an amount you have received. Divide by 1 plus the rate: ₹11,800 at 18% comes from a base of ₹10,000, so ₹1,800 was tax. Choose Remove GST for this.
The total GST is the same either way; only the split changes. When buyer and seller are in the same state, it is divided equally into CGST for the centre and SGST for the state. When the sale crosses a state border, the whole amount is IGST instead.