Gst Calculator

GST (Goods and Services Tax) replaced a complex web of indirect taxes in India in July 2017. While GST simplified the overall tax structure, calculating the correct GST amount — especially distinguishing between CGST/SGST for intra-state transactions and IGST for inter-state transactions — can still be confusing. Our GST Calculator makes all of this instant and error-free.

Understanding GST Rates in India

India has a four-tier GST rate structure. The 5% rate applies to essential items — basic food items not in 0% category, life-saving drugs, economy class air travel and some services. The 12% rate covers processed foods, computers, business class air travel and various manufactured goods. The 18% rate is the most common — it applies to most manufactured goods, IT services, financial services, telecom, restaurants and many professional services. The 28% rate is the highest — applying to luxury goods, automobiles, tobacco, aerated drinks, casinos and betting.

Some items have a 0% GST rate — these include fresh fruits and vegetables, milk, bread, salt, educational services and healthcare services. These are called GST-exempt or zero-rated supplies.

CGST, SGST and IGST Explained

When goods or services are supplied within the same state, GST is split equally between CGST (Central GST) and SGST (State GST). For an 18% GST rate, 9% goes to the central government as CGST and 9% goes to the state government as SGST.

When goods or services are supplied between different states, IGST (Integrated GST) applies. The entire 18% is collected as IGST by the central government, which is then distributed between the centre and the destination state. Our calculator shows all three — CGST, SGST and IGST — so you always know the exact tax breakdown for any transaction.

When Do You Need to Add GST vs Remove GST?

Add GST: When you know the base price (before tax) and need to calculate the final price to charge your customer. Remove GST: When you have received a total amount (inclusive of GST) and need to determine the base price for accounting purposes or to issue a correct invoice.

GST Input Tax Credit

One of the most powerful features of GST is the Input Tax Credit (ITC) mechanism. Registered businesses can claim credit for GST paid on their purchases against GST collected on their sales. This prevents the cascading tax effect that existed under the previous VAT system. Proper calculation of GST amounts is essential for accurate ITC claims.

GST Registration Threshold

Businesses with annual turnover exceeding ₹40 lakh for goods (₹20 lakh for services, ₹10 lakh for North-East states) must register for GST. Once registered, correct GST calculation and invoicing is a legal requirement. Our calculator helps ensure your invoices always show the correct tax amounts.

Our GST Calculator is completely free, works instantly and shows the complete tax breakdown for CGST, SGST and IGST — everything you need for accurate invoicing and accounting.