What Is GST?
Learn how GST works in India, GST slabs, and how GST is calculated.
Table Of Contents
What Is GST?
GST (Goods and Services Tax) is an indirect tax imposed on the supply of goods and services in India.
Introduced in 2017, GST replaced several indirect taxes and created a unified taxation system.
Types Of GST
CGST
Central GST collected by the Central Government.
SGST
State GST collected by State Governments.
IGST
Applied on inter-state transactions.
UTGST
Applicable in Union Territories.
GST Slabs In India
| GST Rate | Typical Usage |
|---|---|
| 5% | Essential goods |
| 12% | Processed goods |
| 18% | Most goods and services |
| 28% | Luxury products |
GST Calculation Examples
- ₹1,000 @ 18% GST = ₹180 GST
- Final Price = ₹1,180
- CGST = ₹90
- SGST = ₹90
Benefits Of GST
- Simplified taxation system.
- Reduced tax cascading.
- Better tax transparency.
- Easier compliance for businesses.
Calculate GST Instantly
Use our free GST Calculator to add or remove GST and calculate CGST and SGST.
Open GST Calculator →Frequently Asked Questions
What is GST?
GST is a unified indirect tax levied on the supply of goods and services in India.
What is CGST?
CGST is the portion of GST collected by the Central Government on intra-state transactions.
What is SGST?
SGST is the portion of GST collected by State Governments on intra-state transactions.
What is IGST?
IGST applies to inter-state transactions and imports.
How do I calculate GST?
Multiply the taxable amount by the GST percentage to determine the GST amount.
Conclusion
GST is one of the most important indirect taxes in India and affects most goods and services.
Understanding GST rates and calculations helps consumers and businesses make better financial decisions.