Question

M/S Sing Trader purchased refrigerator for Rs. 10,000 taxable amount. They sold it to Amrutbhai for Rs. 12,000 taxable amount. The rate of GST is 28%, then find the CGST and SGST to be paid by M/S Sing Trader.

Answer 1

Given:

Purchase (taxable) = Rs. 10,000

Sale (taxable) = Rs. 12,000

GST rate = 28% (assume intra‑state supply, so GST is split equally into CGST and SGST).

Step-wise calculation:

1. Output GST on sale

GST = 28% of 12,000

= 0.28 × 12,000

= Rs. 3,360

Therefore, CGST on sale = SGST on sale

= `3360/2` 

= Rs. 1,680 each

2. Input GST on purchase (credit available)

GST paid on purchase = 28% of 10,000

= 0.28 × 10,000

= Rs. 2,800

Therefore, CGST on purchase = SGST on purchase

= `2800/2` 

= Rs. 1,400 each

3. Net GST payable (after set‑off of ITC)

Net GST = Output GST – Input GST

= 3,360 – 2,800

= Rs. 560

Net CGST payable = 1,680 – 1,400

= Rs. 280

Net SGST payable = 1,680 – 1,400

= Rs. 280