Indian GST Guide: Slabs, Calculation, and Filing for Beginners

Goods and Services Tax (GST) is India's unified indirect tax system that replaced multiple central and state taxes on July 1, 2017. It applies to the supply of most goods and services.

GST rate slabs are set by the GST Council: - 0%: Essential items — fresh fruits, vegetables, grains, milk, eggs, educational and healthcare services - 5%: Mass consumption items — packaged food, tea, coffee, sugar, edible oils, railway transport - 12%: Processed foods, computers, mobile phones, some industrial goods - 18%: Most services and consumer goods — telecom, IT services, restaurants (non-AC), financial services - 28%: Luxury goods — automobiles, tobacco, aerated drinks, high-end electronics

CGST, SGST, and IGST: For sales within the same state, GST is split equally into CGST (Central GST) and SGST (State GST). For sales across state lines, IGST (Integrated GST = CGST + SGST) is charged. The total tax rate is identical — only the administrative split differs.

Calculating GST: To add GST to a net price: GST amount = Net × Rate%, Total = Net + GST. To extract GST from a tax-inclusive price: Net = Total ÷ (1 + Rate%), GST = Total − Net. Use Tooler's GST Calculator for instant calculation in both directions.

GST filing is done through the GST portal (gst.gov.in). Regular taxpayers file GSTR-1 (sales) and GSTR-3B (summary return) monthly or quarterly, depending on turnover. Always verify the correct GST rate for your product or service from official GST Council notifications.