Question

what is the formula of gst
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Answer 1

Explanation:

Under the new tax structure, the rates applicable are 5%, 12%, 18% and 28%. Formula for GST calculation: In case a product is sold for Rs.2,000 and the GST rate applicable to it is 12%, then net price of the product will be Rs.2,000 + 12% of Rs.2,000 = Rs.2,000 + Rs.240 = Rs.2,240.

Answer 2

Explanation:

The formula for GST calculation:

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.