If a dealer supplies goods worth ₹ 3,000 to another local dealer with 28% GST, then the tax levied under CGST is:

1. ₹ 270

2. ₹ 540

3. ₹ 840

4. ₹ 420

Option 4 is the correct option.

Reason

Cost of goods = ₹ 3,000

GST rate = 28%

Since, it is a local (intra-state) supply, the GST is equally divided between CGST and SGST.

CSGT = SGST = $\dfrac{GST}{2} = \dfrac{28\%}{2}$ = 14%

The tax levied under CGST = 14% of ₹ 3,000

= $\dfrac{14}{100} \times 3,000$

= 14 x 30 = ₹ 420

Hence, the tax levied under CGST = ₹ 420