Tax28 February 2026 · 5 min read

GST Calculator India: How to Calculate GST on

Learn how GST works in India, GST rates for different goods and services, how to add or remove GST from a price, and common examples.

GST (Goods and Services Tax) is India's unified indirect tax that replaced the old VAT, service tax, and excise duty system. Whether you are a business owner or consumer, knowing how to calculate GST accurately is essential.

GST Rate Slabs in India (2026)

GST RateExamples
0%Fresh fruits, vegetables, milk, eggs, salt, books, newspapers
5%Packaged food, tea, coffee, medicines, railway tickets, economy hotels
12%Processed food, butter, cheese, smartphones, computers, construction services
18%Most services (IT, banking, consulting), AC restaurants, electronics, cement
28%Luxury goods, cars, tobacco, aerated drinks, casinos, online gaming

Adding GST to a Base Price

Formula: GST Amount = Base Price × GST Rate / 100

Total Price = Base Price + GST Amount

Example: Software service (18% GST) costing ₹10,000.

  • GST = ₹10,000 × 18% = ₹1,800
  • Total invoice = ₹11,800

Removing GST from an Inclusive Price

If a price already includes GST:

Base Price = Total Price × 100 / (100 + GST Rate)

Example: A product is priced at ₹5,900 inclusive of 18% GST.

  • Base price = ₹5,900 × 100 / 118 = ₹5,000
  • GST component = ₹900

CGST, SGST, and IGST

  • CGST + SGST: For intra-state transactions. Each is half the total GST rate. (18% GST = 9% CGST + 9% SGST)
  • IGST: For inter-state transactions. Equal to the full GST rate.

Input Tax Credit (ITC)

Registered businesses can claim Input Tax Credit — the GST paid on purchases can be offset against GST collected on sales. This prevents the cascading effect of multiple taxes.

Example: You buy raw materials for ₹50,000 + ₹9,000 GST (18%), and sell the product for ₹80,000 + ₹14,400 GST. Your net GST payable = ₹14,400 − ₹9,000 = ₹5,400.

When Do You Need to Register for GST?

  • Annual turnover above ₹40 lakhs (goods) or ₹20 lakhs (services)
  • Any inter-state supply of goods or services
  • E-commerce sellers (mandatory regardless of turnover)

Calculate GST instantly with our GST Calculator.

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