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Mathematics

A dealer in Mumbai sold a telescope to an end-user in Bangalore. The marked price of the telescope was ₹ 25000 and the dealer offered a discount of 20%. If the rate of GST is 28%, calculate the IGST, CGST and SGST charged from the end-user. Also determine the total amount of bill.

GST

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Answer

Given :

Marked price = ₹ 25,000

Discount percentage = 20%

GST rate = 28%

As the transaction is inter-state, so only IGST is applicable.

Discount = 20% of ₹ 25,000

= ₹ 25,000 × 20100\dfrac{20}{100} = ₹ 5,000

Discounted price = ₹ 25,000 - ₹ 5,000 = ₹ 20,000

IGST = 28% of ₹ 20,000

= 20,000 × 28100\dfrac{28}{100} = ₹ 5,600

Total bill amount = ₹ 20,000 + ₹ 5,600 = ₹ 25,600

Hence, IGST = ₹ 5,600, CGST = ₹ 0, SGST = ₹ 0 and Total Bill Amount = ₹ 25,600.

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