I am a trader in Bihar, I purchased a material from West Bengal for ₹ 1,00,000/- + paid IGST @ 18%=18,000/-,+ I paid freight for transporting 5000/- . No Now the total cost of this material is ₹ 1,23,000/- . Now I am resaling this material in Bihar for ₹ 1,30,000/- .
Now I want to know that how much rupee I will charge as Taxes in my Tax Invoice?
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Calculation of Tax on sales
Replies (5)
Include
On Total Amount or only on my profit which I have earned?
pls give in details.
pls give in details.
You have to charge 130000 inclusive of tax including your profit ...... You can adjust tax liability with your ITC but you have to provide benefit consumer as per the ACT
Considering you're registered under GST, you can avail the amount of IGST paid as a credit. Thus your cost would become 105000 only.
If you're selling the same material, you would be liable to the same rate of tax as paid by you on your purchase i.e. 18%.
Hence you can charge 18% on your sale value.
You may alternatively sell your Goods for an inclusive price of 130000 including the tax at 18% i.e. Sale value of 110169.50 and tax of 19830.50.
If you're selling the same material, you would be liable to the same rate of tax as paid by you on your purchase i.e. 18%.
Hence you can charge 18% on your sale value.
You may alternatively sell your Goods for an inclusive price of 130000 including the tax at 18% i.e. Sale value of 110169.50 and tax of 19830.50.
Thank you Raghuveer Sir
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