Question

A manufacturer sells a T.V. to a dealer for 18000 and the dealer sells it to a consumer
at a profit of 1500. If the sales are intra-state and the rate of GST is 12%, find:
(i) the amount of GST paid by the dealer to the State Government.
(ii) the amount of GST received by the Central Government.
(iii) the amount of GST received by the State Government.
(iv) the amount that the consumer pays for the T.V.



​

Answer 1

Answer:

Step-by-step explanation:

Solution:

It is a case of intra-state transaction of goods and services.

SGST = CGST = ½ GST

Given:

Manufacturer sells T.V to a dealer = ₹ 18000

Amount of GST collected by manufacturer from dealer,

CGST – SGST = 6% of 18000

= (6/100) × 18000

= ₹ 1080

So, Manufacturer will pay ₹ 1080 as CGST and ₹ 1080 as SGST

CP of a TV for dealer = ₹ 18000

Profit = ₹ 1500

SP of a TV for dealer to customer – CP + Profit = ₹ 18000 + ₹ 1500

= ₹ 19500

Amount of GST collected by dealer from customer,

CGST = SGST = 6% of ₹ 19500

= (6/100) × 19500

= ₹ 1170

(i) Amount of GST paid by the dealer to the State Government.

₹ 1170 – ₹ 1080 = ₹ 90

(ii) Amount of GST received by the Central Government.

CGST paid by manufacturer + CGST paid by dealer = ₹ 1080 + ₹ 90

= ₹ 1170

(iii) Amount of GST received by the State Government.

SGST paid by manufacturer + SGST paid by dealer = ₹ 1080 + ₹ 90

= ₹ 1170

(iv) Amount that the consumer pays for the TV.

CP of TV + CGST paid by customer + SGST paid by customer

= ₹19500 + ₹1170 + ₹ 1170 = ₹ 21840