Question

Krishna Electrical had bought a TV from a wholesaler at Rs.36000. The marked price on it in Krishna electricals was Rs.5000. If it was sold to kalyan Deshmukh at 10% discount calculate the input GST and Output GST for Krishna electricals if the rate of GST is 18%.

Answer 1

Solution:

Rate of GST is 18%

So, input tax = 18% of purchase price

= 18% of RS 36000

= 18/100 ×45000

= RS 6480.

Output GST = 18% of sale price

= 18% of RS 45000....(because 10% is discount)

=18/100 ×45000

= RS 8100

GST is payable= 8100-6480

= RS 1620.