Question

Chetana Store' paid total GST of rupees 1,00,500 at the time of purchase and collected GST rupees1,22,500 at the time of sale during 1st of July 2017 to 31st July 2017. Find the GST payable by Chetana Stores. Solve the word problem

Answer 1

Here is the answer

Solution

GST payable by Chetana stores means GST to be paid to the Government by Chetana stores

1) Output Tax ( tax collected at the time of sale )
= Rs. 1,22,500

2) Input tax ( tax paid at the time of purchase )
= Rs. 1,00,500

Therefore,
ITC = Rs. 1,00,500

3) GST payable = Output tax - ITC

= 1,22,500 - 1,00,050
= Rs. 22,000

Therefore,
GST Payable by Chetana stores is Rs. 22,000.

Thanks!!

Answer 2

Given :Chetna Store paid total GST of 1,00,500/- i.e (output tax)

She collected GST at the time of sale 1,22,500/- (input tax)

To find: GST payable by chetna stores

Solution:

Input Tax= 1,00,500/-

Output tax =1,22,500/-

GST payable =Output tax - lnput tax = 1,22,500 - 1,00,500= 22000/-

Therefore, GST PAYABLE =22000/-

▪During the period of 1st july 2017 to 31st july 2017 , the GST payable by chetna stores is 22,000/-