GUIDESPERSONAL FINANCE
How to Calculate GST in India: Formula, Percentage & Examples
4 MIN • 
LAST EDITED BY ULFATH JOAD ON SEPTEMBER 25, 2025.
LAST EDITED BY ULFATH JOAD ON SEPTEMBER 25, 2025.
GUIDES LAST EDITED BY ULFATH JOAD ON SEPTEMBER 25, 2025.
Since its introduction, GST has brought significant benefits to the Indian economy by simplifying the tax system, reducing the tax burden on businesses and consumers, and boosting tax revenues.
The implementation of GST was a significant reform that created a uniform tax rate across the country. This made it easier for businesses to operate and compete in the national market and move goods seamlessly.
If you are a goods or service provider, you should know how to calculate the GST percentage to ensure you pay the right amount to the government. Paying less than due can lead to penalties and fines, adding to your operational expenses.
Calculating the GST amount and percentage is simple and can be done both manually or by using online calculators. Whichever mode you choose, you still need to understand how to calculate GST as a concept and use its formula.
To calculate GST, use the formula:
GST Amount = (Original Price × GST Rate) ÷ 100.
Then, Final Price = Original Price + GST Amount.
For inclusive prices, use:
GST Amount = Original Price - [Original Price × (100 ÷ (100 + GST Rate))].
For exclusive prices, use:
GST Amount = (Original Price × GST Rate) ÷ 100
Example calculation:
Eg: If a product costs ₹1,000 and GST is 18% → GST = (1000 × 18) ÷ 100 = ₹180.
Final Price = ₹1,180.
A free-to-use online GST calculator is a tool that can save you significant time and effort while ensuring accurate results. Here are the steps you need to follow:
That’s it, the tool will automatically calculate the GST amount applicable.
As this article will help you to manage your business, so should you manage and plan for your personal finances.
Fi Money will help your Money & Grow Your Money. Fi's AI-powered Analyser can provide insights to help track your expenses: Analyse your spending by Merchants/Brands, Categories (like Food, Entertainment) & by Time (daily/monthly spending).
It also provides thoughtful, non-intrusive nudges to help you maximise your savings/investments. This is why over 2.5 million people trust Fi to get a 360-degree view of their money.
A GST calculator is a tool that can help calculate the GST component that is added or to be added over the price of a product or service.
Typically, all you need to do is enter the amount and the GST slab the particular item falls under and choose the inclusive/exclusive option as applicable. Immediately, you can see the GST amount saving you a lot of time and the complication of doing manual calculations. Moreover, you eliminate the risk of inaccuracies and errors that manual calculations are prone to.
When you have a product or service that falls under a particular slab but does not include the GST component in its price, it is known as being GST exclusive. Using the information in this article, you can calculate the GST due and add it to the original cost to derive the net cost. The formula to do so is (Cost Amount x GST Rate Percentage) / 100.
Yes, you can. Just multiply the product’s price by the GST rate and divide by 100 to get the GST amount. Then add it to the price for the total.
The formula is: GST Amount = (Original Price × GST Rate) ÷ 100.
Final Price = Original Price + GST Amount.
For inclusive GST, use: GST = Price - [Price × 100 ÷ (100 + GST Rate)].
