GST Calculator

GST Calculator

This GST Calculator helps you calculate the amount of Goods and Services Tax (GST) that is added to or subtracted from a price.

GST (Goods and Services Tax) is a value-added tax that is applied to almost all goods and services. When dealing with GST, there are two methods of pricing: GST exclusive and GST inclusive.

GST Exclusive means that the price of a product or service does not include the GST. This means that the price of the product or service is the base price, and the GST is added on top of it.

GST Inclusive means that the price of a product or service includes the GST. The price displayed is the total cost, which includes the GST.

 

To calculate for GST Exclusive:

Step 1: Determine the base price of the product or service.

Step 2: Calculate the GST amount by multiplying the base price by the GST rate.

GST amount = Base price x GST rate

Step 3: Add the GST amount to the base price to get the GST (Exclusive) amount.

GST (Exclusive) amount = Base price + GST amount

 

To calculate for GST Inclusive:

Step 1: Determine the gross amount of the product or service, which includes the GST.

Step 2: Divide the gross amount by (1 + GST rate) to get the net amount.

Net amount = Gross amount ÷ (GST Rate + 1)

Step 3: Subtract the net amount from the gross amount to get the GST (Inclusive) amount.

GST (Inclusive) amount = gross amount - net amount

Understanding how to calculate GST Exclusive and GST Inclusive prices can help businesses and individuals properly price their products and services and ensure they are meeting their tax obligations.

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