Updated 27 October 2026
Quick answer: To add GST, multiply the price by the rate: ₹10,000 at 18% is ₹1,800 of GST, ₹11,800 in total. To take GST out of a price that already includes it, divide by 1 plus the rate: ₹11,800 ÷ 1.18 = ₹10,000, so the GST was ₹1,800. Since 22 September 2025 most goods and services fall into three rates, 5%, 18% and 40%, plus 0% for essentials and 3% for gold. In the same state the tax is split equally into CGST and SGST; across states or on imports it is charged as IGST. The calculator below does all of this and shows the split for your invoice.
The GST 2.0 reform folded the old 12% and 28% slabs into the others, so many prices and invoices changed overnight. Most packaged food, medicines and everyday items moved down to 5%, most other goods and services sit at the 18% standard rate, and a new 40% rate covers luxury and "sin" goods.
GST calculator (2026 rates)
Add GST to a price or take it out of a price that already includes it, at the GST 2.0 rates in force since 22 September 2025, with the CGST, SGST or IGST split for your invoice.
Which rate? 0%: fresh milk, eggs, unpacked grains, individual life and health insurance. 5%: most packed food staples such as butter, ghee and namkeen. 18%: the standard rate for most goods and services, including phones, appliances, small cars and professional services. 40%: aerated drinks, large cars, motorcycles above 350 cc and betting. 3%: gold and silver. The exact rate depends on the item's HSN or SAC code; check the CBIC rate finder for anything you invoice.
The GST Formulas
| You know | You want | Formula | Example at 18% |
|---|---|---|---|
| Price before GST | GST amount | Price × rate ÷ 100 | ₹10,000 × 18 ÷ 100 = ₹1,800 |
| Price before GST | Total with GST | Price × (1 + rate ÷ 100) | ₹10,000 × 1.18 = ₹11,800 |
| Price including GST | Price before GST | Price ÷ (1 + rate ÷ 100) | ₹11,800 ÷ 1.18 = ₹10,000 |
| Price including GST | GST amount | Price × rate ÷ (100 + rate) | ₹11,800 × 18 ÷ 118 = ₹1,800 |
A common mistake is to take 18% off an inclusive price: 18% of ₹11,800 is ₹2,124, which is wrong. The GST inside an 18% inclusive price is always 18/118, about 15.25%, of that price.
GST Rates in 2026
| Rate | Typical items |
|---|---|
| 0% (nil) | Fresh milk, eggs, fresh vegetables, unpacked grains, most education and healthcare services, individual life and health insurance policies |
| 3% | Gold, silver and jewellery |
| 5% | Most packaged food staples such as butter, ghee, cheese and namkeen, many medicines, and many items that were at 12% before September 2025 |
| 18% | The standard rate: phones, TVs, air conditioners, cement, small cars, motorcycles up to 350 cc, and most services including IT, professional and repair services |
| 40% | Aerated and sugary drinks, large cars, motorcycles above 350 cc, yachts, betting, casinos and similar |
The rate depends on the exact HSN code (for goods) or SAC code (for services), not on the general category, so two similar-looking products can carry different rates. Before you invoice, check the item on the CBIC rate list or with your accountant.
CGST, SGST and IGST: Which to Show on the Invoice
- Seller and buyer in the same state: charge CGST and SGST, each at half the rate. 18% becomes 9% CGST (to the Centre) plus 9% SGST (to the state). In a union territory without a legislature, SGST is called UTGST.
- Seller and buyer in different states, or imports: charge IGST at the full rate, 18% in one line.
- The total tax is the same either way; only the split and the government that receives it change.
Do You Need to Register for GST?
Registration becomes compulsory once your yearly turnover passes ₹40 lakh for most sellers of goods and ₹20 lakh for services (lower limits of ₹20 lakh and ₹10 lakh apply in some special-category states). Selling to other states, through e-commerce marketplaces in many cases, or providing online services can require registration from the first rupee. Small businesses can choose the composition scheme, paying a low flat rate on turnover but without charging GST on invoices or claiming input credit.
If you make invoices, the free invoice and receipt maker adds GST lines and numbering, and a UPI QR code on the invoice lets customers pay you straight away.
Frequently Asked Questions
How do I calculate GST from a total amount?
Divide the total by 1 plus the rate to get the price before GST, then subtract. For ₹1,180 at 18%: ₹1,180 ÷ 1.18 = ₹1,000, so GST is ₹180. Use "Remove GST from a price" in the calculator.
What happened to the 12% and 28% GST rates?
From 22 September 2025, under the GST 2.0 reform, most items at 12% moved to 5% and most items at 28% moved to 18%, with luxury and sin goods moved to a new 40% rate.
Is GST charged on GST?
No. GST is charged on the value of the goods or services, including other charges such as delivery or packing that are part of the sale, but not on the GST itself.
Why does my restaurant bill show 5% GST?
Restaurant service (outside hotels with high room rates) is taxed at 5% without input tax credit, split into 2.5% CGST and 2.5% SGST.
How is GST rounded on an invoice?
Tax is worked out to the paisa and is usually rounded to the nearest rupee on the final invoice total. The calculator shows amounts to two decimal places so you can round as your billing software does.
Sources
- CBIC: GST rates for goods and services
- GST Council: decisions and notifications
- Vyapar: GST rates 2026-27 and GST 2.0 changes
Related Guides
- Free Invoice Generator: No Sign-Up, No Watermark, PDF in Seconds
- Free UPI QR Code Generator: Make a Scan-and-Pay Poster for Your Shop (Never Expires)
- Income Tax Calculator FY 2026-27: New vs Old Regime, Which Saves You More?
- Why Are Prices Still So High When Inflation Has Come Down?
GST rates as in force from 22 September 2025, checked October 2026. Rates depend on the exact HSN or SAC classification; this is a guide, not tax advice.
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