Question

Goods of Rs. 10,000 was sold by the trader of Ahmedabad to the trader of Rajkot. GST rate is 12 %.

Calculate the amount of SGST.

(A)Rs. 1,200 (B)Rs. 11,200 (C)Rs. 600 (D)Rs. 10,600​

Answer 1

Answer:

GST Calculation Formula:

1.Add GST: GST Amount = (Original Cost x GST%)/100. Net Price = Original Cost + GST Amount.

2.Remove GST: GST Amount = Original Cost – [Original Cost x {100/(100+GST%)}] Net Price = Original Cost – GST Amount.

Explanation:

GST calculation can be explained by simple illustration : If a goods or services is sold at Rs. 1,000 and the GST rate applicable is 18%, then the net price calculated will be = 1,000+ (1,000X(18/100)) = 1,000+180 = Rs. 1,180.