GST Calculator India is an online calculator that lets you calculate interstate and intrastate GST tax amounts for any of your products and/or services. Read below-
In order to be able to use the GST calculator properly, you need to understand how GST is actually calculated and what formula to use for it.
The GST calculation formula is based on many factors including the type of transaction (Interstate or Intrastate), GST rate for the product, type of GST applicable, and the sale/purchase price of the product. Although this is supposed to be a singular tax system for all goods and services purchased or sold throughout the country, the government has introduced four different tax rates (5%, 12%, 18%, 28%) for different product categories.
Furthermore, two different types of Goods & Services taxes, named CSGT (Central GST) and SCGT (State GST), will be applicable for all intrastate transactions (within the same state), while a single IGST (Interstate GST) tax will be applied on all interstate transactions (across different states). This has further complicated the overall GST tax calculation process in India. We are therefore sharing the basic GST calculator formula in the simplest terms here.
GST Calculation Formula:
IGST = (GST Rate * Purchase or Sales amount) / 100 CGST = SGST = IGST / 2
Now, you understand how to calculate GST tax on various transactions within and across different states in India. You can use the free online GST calculator given above to calculate GST and the final cost of any item or service in India.
1. Select Transaction Type: The first option in the online GST calculator asks you to select the transaction type- Interstate or Intrastate.
2. Select Rate: Select the applicable GST rate for your particular product/service from the available options in the GST Calculator to calculate the tax amount.
3. Purchase/ Sales: Enter the original purchase or sales amount (in rupees) of the product to know the total cost after GST inclusion.
4. Type of GST: This option in the online GST Calculator will be automatically selected based on type of transaction; IGST for Interstate and CGST & SGST for Intrastate transactions. The separate CGST & SGST or IGST tax amount will also be displayed there. The final cost after GST inclusion will be displayed next.