Question

Arogya Medico paid total GST of Rs. 2,00,700 at the time of purchase and collected GST 2,22,200 at the time of sale during 1st of July 2021 to 31st July 2021. Find the GST payable by Arogya Medico.

Answer 1

Given:

GST paid on purchases (Input Tax / ITC) = Rs. 2,00,700

GST collected on sales (Output Tax) = Rs. 2,22,200

Period: 1 July 2021 to 31 July 2021

Step-wise calculation:

1. Write the formula: GST payable = Output Tax – Input Tax (ITC).

2. Substitute the amounts: GST payable = Rs. 2,22,200 – Rs. 2,00,700.

3. Compute: GST payable = Rs. 21,500.

GST payable by Arogya Medico for the period = Rs. 21,500 (i.e., CGST Rs. 10,750 + SGST Rs. 10,750, if applicable).