Reverse GST Calculator – Remove GST in India

A Reverse GST Calculator is an online tool that can be used by individuals, customers, shopkeepers, retailers, wholesalers, freelancers and business owners. This tool can calculate the original price of a product or service after removing the Goods and Service Tax (GST).

In India, GST is an Indirect Tax that is charged on the supply of goods and services, at different rates. The most common GST rates are 5 %, 12 %, 18 % and 28 %.

When purchasing a product or service that has had GST added to the amount, it can be hard to work out how much of the total amount was the original value of the product or service and how much was the GST.

For example if you purchased an electronic product for ₹11,800 with 18% GST then the original taxable amount would be ₹10,000 and the GST amount would be ₹1,800.

The Reverse GST Calculator makes it easy to work out the original amount. Just enter the total amount and choose which GST rate applies. The tool will calculate the original amount before tax, the GST amount and the total inclusive amount.

Whether you are wanting to work out your customers bills, create invoices for your business, verify supplier quotes, work out your product costs or keep track of your accounts this tool will help you understand the full breakdown of your taxes.

How to Use a Reverse GST Calculator

Our online Reverse GST Calculator is very simple to use and you don’t need any accounting knowledge or advanced maths skills to take the GST away from a total amount.

Steps to follow:

Enter the Total Amount – Enter the amount of the product or service you have been charged, including the GST.

Choose the GST Rate – Choose the relevant percentage rate for your GST, such as 5%, 12%, 18% or 28%.

Click Calculate – Press the calculate button.

View the Original Amount – This will show you the taxable amount.

View the GST Amount – This will show you how much tax you were charged.

Your Final Breakdown – This will show you the original amount, GST amount and total.

For example, if you enter ₹23,600 and choose an 18% GST rate, it will show you the original taxable amount of ₹20,000 and GST amount of ₹3,600.

Reverse GST Calculator Formula

The formula for working out the reverse GST will help you work out the original taxable amount.

Remove the GST:

Original Amount = (GST Inclusive Amount x 100) / (100 + GST Rate)

This will tell you the original amount of the product or service before the GST.

GST Amount:

Once you know the original taxable amount, you can work out how much GST you have been charged using this formula.

GST Amount = GST Inclusive Amount – Original Amount

OR

GST Amount = (GST Inclusive Amount x GST Rate) / (100 + GST Rate)

CGST & SGST:

If you are making a standard supply within state, the GST will normally be split evenly between CGST and SGST.

CGST = Total GST Amount / 2

SGST = Total GST Amount / 2

IGST:

If you are making a supply between states then the IGST will normally apply.

IGST = Total GST Amount

Reverse GST Calculator Example

Let’s take a look at how a Reverse GST Calculator works with an example.

You purchased a laptop from an electronics store in India for ₹59,000. The price shown includes 18% GST. You want to know what the original price of the laptop was and how much GST you were charged.

Step 1: Find out the GST Inclusive amount.

Total Amount = ₹59,000

Step 2: Find out the GST Rate.

GST Rate = 18%

Step 3: Work out the Original Taxable Amount.

Original Amount = (59,000 x 100) / (100 + 18%)

Original Amount = 59,00,000 / 118

Original Amount = ₹50,000

Step 4: Work out the GST Amount.

GST Amount = ₹59,000 – ₹50,000

GST Amount = ₹9,000

Step 5: Work out the Final Breakdown.

Below shows you the full breakdown.

GST Inclusive Amount ₹59,000 GST Rate 18% Original Taxable Amount ₹50,000 GST Amount ₹9,000 Final Amount ₹59,000

If this was a standard supply within state, the breakdown will normally be:

Tax Component Rate Amount CGST 9% ₹4,500 SGST 9% ₹4,500 Total GST 18% ₹9,000

However, if this was a supply between states then the IGST would apply. This would be 18% and be a total of ₹9,000.

Understanding Your Results

Once you have entered your GST inclusive amount and relevant tax rate you will be given various results.

• GST Inclusive Amount – This is the total price of the product or service including the GST.
• GST Rate – This is the percentage of tax that has been included.
• Original Taxable Amount – This is the price of the product or service before the GST was added.
• GST Amount – This is the amount of tax that has been included.
• CGST – This is the central tax that you will generally pay on within state supplies.
• SGST – This is the state tax that you will generally pay on within state supplies.
• IGST – This is the integrated tax that you will generally pay on between state supplies.

For example if the product cost ₹11,200 including 12% GST then the original taxable amount would be ₹10,000 and the GST amount would be ₹1,200.

This will help customers to verify their bills and businesses to verify supplier invoices and keep accurate accounts.

Factors that Influence the Reverse GST Calculator

There are a few factors that will influence the result.

• GST Rate – This will impact the original taxable amount and the GST amount. Choosing the wrong rate will give you an incorrect result.
• GST Inclusive Amount – This will impact the taxable amount and tax amount.
• Product/Service – Different products and services will have different GST rates depending on their HSN/SAC.
• Type of Transaction – If this is a within state transaction then you will generally pay CGST and SGST. If this is a between state transaction then you will generally pay IGST.
• Discounts – Discounts may impact the taxable amount.
• Extra Charges – Extra charges such as transportation, packing, insurance etc may be part of the taxable amount.
• Exemptions – Some products/services may be exempt, nil rated, zero rated and/or have special GST rules.

Advantages & Uses of a Reverse GST Calculator

There are many benefits to using an online Reverse GST Calculator in India.

• Separate GST – This will help you quickly see what the original price of the product was and how much tax you were charged.
• Save Time – You won’t have to work out the taxable amount using complex formulas.
• Customer Verification – This will help your customers to verify their bills.
• Useful for Retailers – This will help you see what the taxable amount and tax amount is for products.
• Invoice Creation – This will help business owners to work out what the taxable amount is for their selling prices.
• Accountants – This can help accountants to verify basic invoice calculations.
• Reduce Errors – This will help to reduce errors commonly made when doing Maths.
• Free – This can be used online and is completely free.

Accuracy, Assumptions & Limitations

This tool will give you an estimate of the amount based on the maths. The accuracy of this tool will depend on you choosing the correct GST rate and entering the correct total amount.

It will assume that the amount you entered has had GST added at one rate. It won’t automatically work out the correct HSN/SAC and won’t check the latest GST notifications.

Some transactions will have multiple rates, composite/mixed supplies, discounts, extra charges, exemptions and/or special rules. This may mean additional calculations are needed.

It won’t tell you whether you will pay CGST & SGST or IGST. This will depend on what type of supply you are making.

Rounding errors may happen as the amounts will be rounded to 2 decimal places. When creating official invoices, GST returns and ensuring tax compliance, make sure you are aware of what the rules are and consult a qualified tax professional if needed.

FAQ

What is a Reverse GST Calculator?

A Reverse GST Calculator is an online tool that can help you work out what the original taxable amount and GST amount was from a total amount. It helps to separate the product/service amount and GST amount.

How do I take GST away from a total?

Multiply the GST inclusive amount by 100 and divide by 100 plus the GST rate. For example, if the total amount is ₹11,800 and the GST rate was 18% then the original taxable amount would be ₹10,000.

How do I calculate 18% GST in reverse?

Divide the total GST inclusive amount by 1.18. For example, if the total amount was ₹23,600 then dividing by 1.18 would give you an original taxable amount of ₹20,000. The GST amount would be ₹3,600.

What is the difference between a GST Calculator & Reverse GST Calculator?

A standard GST Calculator will add the GST to the original taxable amount to give you the final amount. A Reverse GST Calculator does the opposite by taking the original taxable amount and GST amount from the amount that has had GST added.

Can I calculate CGST & SGST using a Reverse GST Calculator?

Yes! Once you have worked out the total GST amount you can generally split it evenly between CGST & SGST. For example, if the GST rate was 18% then this would generally be 9% CGST & 9% SGST.

Can I use a Reverse GST Calculator for 5%, 12%, 18% & 28% GST?

Yes! You can use a Reverse GST Calculator for different GST rates. This includes 5%, 12%, 18% & 28%.

Is this tool free to use online?

Yes! Our online Reverse GST Calculator is completely free to use. You can enter your total GST inclusive amount, select the relevant GST rate and find out the original taxable amount and GST amount in seconds.