Question

'Chetana Store' paid total GST of Rs 1,00,500 at the time of purchase and collected GST Rs 1,22,500 at the time of sale during 1^st of July 2017 to 31^st July 2017. Find the GST payable by Chetana Stores.

Answer 1

Tax collected at the time of sale = Rs 1,22,500

Tax collected at the time of purchase = Rs 1,00,500

∴ GST payable = Tax collected at the time of sale − Tax collected at the time of purchase = Rs 1,22,500 − Rs 1,00,500 = Rs 22,000

Thus, the GST payable by Chetana Stores is Rs 22,000.