GST Calculator

Calculate GST amounts, net prices, and gross prices with our free online calculator. Easily determine GST inclusive and exclusive prices for your business transactions.

Understanding Goods and Services Tax (GST)

Goods and Services Tax (GST) is a value-added tax levied on most goods and services sold for domestic consumption. It is a comprehensive, multi-stage, destination-based tax that is collected on value-added at each stage of the supply chain. GST is ultimately paid by the end consumer but is collected and remitted to tax authorities by businesses at each stage of the production process.

How is GST calculated?

There are two main ways to calculate GST:

Adding GST to a net amount: Multiply the net amount by the GST rate percentage. For example, with a 5% GST rate on a $100 item: $100 × 0.05 = $5 GST, making the gross price $105.
Extracting GST from a gross amount: Divide the gross amount by (1 + GST rate as a decimal). For example, to find the net amount of a $105 item with 5% GST: $105 ÷ 1.05 = $100 net amount, with $5 GST.

GST-inclusive vs. GST-exclusive prices

Understanding the difference between GST-inclusive and GST-exclusive prices is important:

GST-exclusive (net) price: The price before GST is added. This is often used in business-to-business transactions.
GST-inclusive (gross) price: The final price including GST. This is the price typically shown to consumers in retail settings.

Businesses need to be clear about whether quoted prices include or exclude GST to avoid confusion and ensure compliance with local regulations.

GST rates around the world

GST rates vary by country and sometimes by product or service category:

Australia has a standard GST rate of 10%
New Zealand applies a GST rate of 15%
Singapore has a GST rate of 8% (increased from 7% in 2023)
India has a complex GST system with multiple rates ranging from 0% to 28%
Canada has a federal GST of 5%, with some provinces adding a provincial sales tax
Many countries have reduced rates or exemptions for essential items like food, healthcare, and education

Always check the current GST rates applicable in your specific location and for your particular business activities.

GST for businesses

For businesses, understanding GST is crucial:

GST registration: Most countries require businesses to register for GST once their turnover exceeds a certain threshold
Input and output GST: Businesses collect GST on sales (output tax) and pay GST on purchases (input tax), remitting the difference to tax authorities
Record-keeping: Proper documentation of GST on purchases and sales is essential for compliance and accurate reporting

Our GST calculator helps businesses quickly determine the correct GST amounts for invoicing, pricing, and financial planning.

Common GST calculation scenarios

Retail pricing: Determining the final price to charge customers when adding GST to your base price
Invoice verification: Checking if the GST amount on received invoices is correct
Financial planning: Estimating GST liabilities for budgeting and cash flow management
Reverse calculations: Working backward from a gross amount to determine the original net price and GST component

Use our calculator for any of these scenarios to ensure accurate GST calculations every time.

GST vs. VAT: What's the difference?

GST and VAT are similar consumption taxes, but they have some key differences:

Implementation: GST is typically implemented as a unified tax system across a country, while VAT may have more regional variations
Tax rates: GST rates are often lower than VAT rates in many countries
Coverage: Both taxes apply to most goods and services, but the specific exemptions and reduced rates may differ
Terminology: "GST" is commonly used in countries like Australia, Canada, India, and Singapore, while "VAT" is more common in European countries

Despite these differences, the fundamental calculation methods are the same, which is why our calculator can be used for both GST and VAT calculations.