Question

Amir Enterprise purchased chocolate sauce bottles and paid GST of Rs 3800. He sold those bottles to Akbari Bros. and collected GST of Rs 4100. Mayank Food Corner purchased these bottles from Akabari Bros and paid GST of Rs 4500. Find the amount of GST payable at every stage of trading and hence find payable CGST and SGST.

Answer 1

Tax collected by Amir Enterprise at the time of purchase = Rs 3,800
Tax collected by Amir Enterprise at the time of sale = Rs 4,100
∴ GST payable by Amir Enterprise = Tax collected at the time of sale − Tax collected at the time of purchase = Rs 4,100 − Rs 3,800 = Rs 300
CGST payable by Amir Enterprise = SGST payable by Amir Enterprise =  \[\frac{300}{2}\]  = Rs 150

Tax collected by Akbari Bros. at the time of purchase = Rs 4,100

Tax collected by Akbari Bros. at the time of sale = Rs 4,500

∴ GST payable by Akbari Bros. = Tax collected at the time of sale − Tax collected at the time of purchase = Rs 4,500 − Rs 4,100 = Rs 400

CGST payable by Akbari Bros. = SGST payable by Akbari Bros. =  \[\frac{400}{2}\]   = Rs 200