Question

Anna Patil (Thane, Maharashtra) supplied vacuum cleaner to a shopkeeper in Vasai (Mumbai) for the taxable value of Rs 14,000, and GST rate of 28%. Shopkeeper sold it to the customer at the same GST rate for Rs 16,800 (taxable value) Find the following – 

Amount of CGST and SGST shown in the tax invoice issued by Anna Patil.

Answer 1

Rate of GST is 28%.

Output tax of Anna Patil = 28% of Rs 14,000 = \[\frac{28}{100} \times 14000\]  = Rs 3,920

∴ CGST in tax invoice of Anna Patil = SGST in tax invoice of Anna Patil = 

\[\frac{\text{ Output tax of Anna Patil} }{2} = \frac{3920}{2}\]  = Rs 1,960

Thus, the amount of CGST and SGST shown in the tax invoice issued by Anna Patil is Rs 1,960.