GST Calculator India

India uses a multi-slab GST system: 0% (exempt — essentials like fresh produce, healthcare, education), 5% (basic necessities like rail, economy air travel, packaged food), 12% (mid-tier — processed food, mobile phones, some hotels), 18% (standard — most services, electronics, restaurants), and 28% (luxury / sin goods — cars, tobacco, premium hotels). Some 28% items also attract additional cess.

GST is collected by both the Centre and the State. For an intra-state supply (buyer and seller in the same state), the tax splits equally: CGST goes to the Centre and SGST (or UTGST for Union Territories) goes to the State — each at half the total rate. For an inter-state supply, a single IGST (Integrated GST) at the full rate is charged by the Centre, which then settles with the destination state.

If you have a tax-inclusive price (e.g. ₹1,180 incl. 18% GST) and want to find the base price and GST: base = gross / (1 + rate) = 1,180 / 1.18 = ₹1,000. GST = ₹180. Use the 'Extract GST' mode of this calculator. Common scenarios where you'd want to extract: reconciling vendor invoices, calculating ITC (Input Tax Credit), reverse-charging to a foreign customer.

Mandatory GST registration is required if your annual turnover exceeds ₹40 lakh for goods (₹20 lakh for services, ₹10 lakh for special-category states). Voluntary registration is allowed below the threshold and is common if you want to claim ITC on input purchases. Inter-state suppliers, e-commerce sellers, and casual taxable persons must register regardless of turnover.

ITC lets a registered business reduce its output GST liability by the GST it paid on inputs (raw materials, services, capital goods). Example: you buy ₹10,000 of stock + ₹1,800 GST input, then sell it for ₹15,000 + ₹2,700 GST. You pay only ₹2,700 - ₹1,800 = ₹900 net GST to the government. Without ITC, you'd pay the full ₹2,700.

Some items are exempt or outside the GST regime: petroleum products (still under VAT/excise), alcohol for human consumption, electricity, real estate sale (only construction services and ready-flats attract GST), and stamp duty. Specific items like fresh produce, milk, and unpacked food grains are at 0% (technically taxable but no GST applied).

Exports are zero-rated under GST: you charge 0% GST on the invoice but can still claim ITC on inputs. To benefit, you need to file LUT (Letter of Undertaking) and treat the export as 'zero-rated supply'. SaaS / consulting services to non-resident customers also qualify as exports under the place-of-supply rules if conditions are met.

GST e-Invoicing is mandatory for businesses with turnover above ₹5 crore (lowered from ₹10 crore in August 2023). Invoices must be generated through the government's Invoice Registration Portal (IRP), which assigns each invoice a unique IRN and QR code. Below the threshold, e-invoicing remains voluntary.