GST on Discounted Products

Why can retailers charge extra GST on discounted products which already has an MRP inclusive of all taxes?

Asked on February 14, 2019 in Miscellaneous.
Add Comment
1 Answer(s)

Tax is charged on retail price for the purpose of correct accounting. GST has to be posted under the correct head.

Even the goods sold at MRP have GST charged separately but the total sum charged stays below MRP. In the case of discounted price too this procedure is followed. If a shop keeper has put a banner of 10% discount it can be seen that the total price after tax will be less by 10%.

Answered on February 14, 2019.
Add Comment

Your Answer

Gen GST