Question

The total value (with GST) of a remote-controlled toy car is RS. $1770$. Rate of GST is $18$% on toys. Find the taxable value, CGST and SGST for this toy-car.

Answer 1

Total cost of toy including GST is $Rs.1770$

GST rate $=18$

Taxable Value is our Rate excluding GST.

So, $1770=$ Rate excluding GST $+18$ of Rate excluding GST

Let Rate excluding GST $=p$,

So, $p+18\%ofp=1770$

$\Rightarrow p+0.18p=1770$

$\Rightarrow 1.18p=1770$

$\Rightarrow p=\frac{1770}{1.18}$

$\Rightarrow p=1500$

Taxable Value $Rs.1500$

$GST=18\%of1500$

$GST=0.18\times 1500=270$

$\therefore GST=270$

$CGST=9\%$ and $SGST=9\%$, which together form $GST=18\%$

$CGST=SGST=\frac{GST}{2}$

$CGST=SGST=\frac{270}{2}=Rs.135$