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 $1^{st}ofJuly2017$ to ${31}^{st}ofJuly2017$. 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 $1,00,500$
$\therefore$ 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 $22,000$.