1. What is India GST?

GST (Goods and Services Tax) is a comprehensive indirect tax levied on the supply of goods and services in India. It has replaced multiple cascading taxes levied by the central and state governments.

2. How Does the Calculator Work?

The calculator uses the GST formula:

Where:

• \( Price \) — Original price before tax (INR)
• \( GST \) — GST rate as percentage (e.g., 18 for 18%)

Explanation: The tax amount is calculated by multiplying the original price by the GST rate (converted from percentage to decimal).

3. Importance of GST Calculation

Details: Accurate GST calculation is essential for businesses to determine their tax liability, file returns, and claim input tax credit.

4. Using the Calculator

Tips: Enter the price in Indian Rupees (INR) and the applicable GST rate as a percentage (e.g., 5, 12, 18, or 28). The calculator will compute both the tax amount and total payable amount.

5. Frequently Asked Questions (FAQ)

Q1: What are the different GST slabs in India?
A: India has four primary GST slabs: 5%, 12%, 18%, and 28%. Some essential items are taxed at 0%.

Q2: Is GST calculated on MRP?
A: No, GST is calculated on the base price, not the MRP (Maximum Retail Price).

Q3: How is GST different from previous tax systems?
A: GST replaced multiple indirect taxes (like VAT, excise, service tax) with a single tax, eliminating the cascading effect of taxes.

Q4: Can I claim GST input credit?
A: Registered businesses can claim input tax credit for GST paid on purchases against GST liability on sales.

Q5: Are there different types of GST in India?
A: Yes, India has CGST (Central GST), SGST (State GST), and IGST (Integrated GST for inter-state transactions).