GST Calculator

What Is GST?

Goods and Services Tax (GST) is a comprehensive indirect tax levied on the supply of goods and services across India. Introduced on 1st July 2017, GST replaced a variety of pre-existing indirect taxes such as VAT, service tax, excise duty, and others. It is a multi-stage, destination-based tax applied at every point of value addition, ensuring tax is collected at each step of the supply chain and credited accordingly.

GST is divided into different tax slabs: 0%, 5%, 12%, 18%, and 28%, depending on the type of product or service. However, a few items like petroleum products, alcoholic beverages, and electricity remain outside the GST regime and continue to be taxed by individual state governments under the old system.

Types of GST in India

GST is categorized into the following four components:

1. Central Goods and Services Tax (CGST) – collected by the central government on intra-state supplies.
2. State Goods and Services Tax (SGST) – collected by the respective state government on intra-state supplies.
3. Union Territory Goods and Services Tax (UTGST) – applicable in union territories without legislatures.
4. Integrated Goods and Services Tax (IGST) – charged on inter-state transactions and imports, collected by the central government and shared with states.

For intra-state sales, CGST and SGST are applied equally (half of the GST rate). For inter-state sales, IGST is levied.

What Is a GST Calculator?

A GST Calculator is an easy-to-use online tool that helps businesses, wholesalers, retailers, and end consumers calculate the GST amount applicable on a product or service. It simplifies the process by computing the GST payable, either monthly or quarterly, based on your inputs like invoice amount and GST rate.

This tool is useful for:

• Buyers and customers
• Retailers and wholesalers
• Manufacturers
• Service providers

How to Calculate GST?

GST can be calculated in two ways—when the price is exclusive of GST and when it is inclusive of GST.

GST Calculation Formula

When price is exclusive of GST:

• GST Amount = (Value of supply × GST%) ÷ 100
• Final Price = Value of supply + GST Amount

When price is inclusive of GST:

• GST Amount = Value of supply – [Value of supply × 100 ÷ (100 + GST%)]
• Base Price = Value of supply – GST Amount

GST Calculation Example

Particulars	Amount (₹)
Invoice value	₹1,00,000
GST @12%	₹12,000
Final Invoice Amount	₹1,12,000

So, a 12% GST applied to an invoice of ₹1,00,000 will add ₹12,000 to the total price.

GST Impact Example: Manufacturer-Level Calculation

Particulars	Rate (%)	Pre-GST (₹)	Under GST (₹)
Cost of Product	–	₹2,00,000	₹2,00,000
Profit	10%	₹20,000	₹20,000
Excise Duty	12.5%	₹27,500	Nil
Total	–	₹2,47,500	₹2,20,000
VAT	12.5%	₹30,938	Nil
CGST	6%	Nil	₹13,200
SGST	6%	Nil	₹13,200
Final Price	–	₹2,78,438	₹2,46,400

Result: The cost to wholesalers drops under GST, which can result in lower prices for consumers if benefits are passed down.

GST Impact Example: Wholesaler/Retailer-Level Calculation

Particulars	Rate (%)	Pre-GST (₹)	Under GST (₹)
Cost of Product	–	₹2,78,438	₹2,46,400
Profit	10%	₹27,844	₹24,640
Total	–	₹3,06,282	₹2,71,040
VAT	12.5%	₹7,347	Nil
CGST	6%	Nil	₹3,062
SGST	6%	Nil	₹3,062
Final Invoice	–	₹3,13,629	₹2,77,164

Result: The GST system lowers the final price to end consumers, while keeping profit margins intact for sellers.

Why Use a GST Calculator?

• Instant calculations of GST amount on any price
• Supports inclusive and exclusive pricing
• Useful for retailers, wholesalers, manufacturers, and end consumers
• Helps understand pre-GST vs post-GST pricing impact
• Ensures transparency and accuracy in invoicing

Pro Tip

If you’re a business owner trying to figure out your net GST liability payable in cash after adjusting your input tax credit, you can use a GST Input Credit Utilization Calculator. It helps calculate your final tax payable after adjusting balances in IGST, CGST, and SGST/UTGST ledgers.