What is GST?

GST stands for Goods and Services Tax. It is a tax that applies to most goods and services sold for business or personal use. When you buy a product or service, you pay GST. However, the government collects this tax from business owners.

GST is a type of sales tax added to the price of goods and services. It is also known as Value-Added Tax (VAT) in some countries.

How to Calculate GST with Our Online Tool

Calculating GST manually can be difficult. But you can use our online GST calculator to make it easy. Follow these simple steps:

1. Click the “GST Inclusive” button if you want to add GST. Click the “GST Exclusive” button if you want to remove GST.

2. Enter the amount for which you want to calculate GST.

3. Enter the GST percentage and select your country.

4. Click the “Calculate” button. You will get the result instantly.

GST Calculation: Basic Formula and Example

The formula for calculating GST is:

GST Amount = Price x GST%

Example:

• If the total price is $600 and GST is 5%, then:

  • Net price (without GST) = 600 / (1 + 5/100) = 600 / 1.05 = $571.49

  • Total price (with GST) = 600 * (1 + 5/100) = 600 * 1.05 = $630

What is GST Inclusive and GST Exclusive?

• GST Inclusive: The price includes GST. The final price you pay already has GST added.

• GST Exclusive: The price does not include GST. GST is added later to get the total amount.

GST Tax Rates in Different Countries

GST rates vary from country to country. Below is a list of some countries and their GST rates:

Types of GST

There are four types of GST:

1. Central GST (CGST):

   • Collected by the central government.

   • Applied to goods and services sold within a state.

2. State GST (SGST):

   • Collected by state governments.

   • Used to fund projects like schools, roads, and hospitals.

3. Integrated GST (IGST):

   • Applied when goods and services are sold between different states.

4. Union Territory GST (UTGST):

   • Similar to SGST but applies to union territories.

Impact of GST on Product Prices

GST increases the final price of goods and services. Businesses add GST to the base price, and customers pay this extra amount. This can reduce demand if prices become too high. To stay competitive, businesses may lower their base price so that the total price (including GST) remains affordable.

Features and Benefits of Our GST Calculator

Our online GST calculator helps you calculate GST quickly and accurately. Here are its benefits:

• No need to install software.

• No sign-up required.

• Works on all devices and operating systems.

• Free to use.

• Provides 100% accurate GST calculations.

By using our GST calculator, you can easily determine the correct tax amount and make better financial decisions.