Inclusive and exclusive prices
Retail prices and quotes are often given including GST, while invoices show the taxable value and the tax separately. This tool lets you move between the two using the same rate and type of supply for both panels.
Formulas
- Inclusive → exclusive: Taxable value = Inclusive price × 100 ÷ (100 + Rate)
- Exclusive → inclusive: Inclusive price = Taxable value × (100 + Rate) ÷ 100
Example (illustrative)
A Morbi tile trader quotes ₹5,250 per box including GST at 5%. Taxable value = ₹5,250 × 100 ÷ 105 = ₹5,000, and GST = ₹250 (CGST ₹125 + SGST ₹125 within the state, or IGST ₹250 for an inter-state buyer). Going the other way, ₹5,000 plus 5% GST is ₹5,250.
Common mistake
Taking the rate percentage of the inclusive price (for example, 5% of ₹5,250 = ₹262.50) overstates the tax. Always divide by (100 + rate).