📖 Understanding GST in India

GST (Goods and Services Tax) is India's biggest tax reform that replaced multiple indirect taxes like VAT, service tax, excise duty, and more. It came into effect on July 1, 2017, creating a unified national market.

Under GST, goods and services are taxed at 4 main rates: 5%, 12%, 18%, and 28%. Essential items like fresh food, education, and healthcare are exempt (0%). Most consumer goods and services fall under the 18% slab.

GST is divided into three components: CGST (Central GST), SGST (State GST) for intra-state transactions, and IGST (Integrated GST) for inter-state transactions. For example, on an 18% GST item sold within a state, 9% goes to Centre and 9% to State.

Our calculator helps you quickly determine the GST amount whether you're calculating from the net price (before tax) or extracting GST from the final price (after tax). Businesses need proper GST calculation for invoicing, while consumers use it to understand the tax they're paying.