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Gst Calculator

GST Calculator


What is GST?

The GST is a tax on the goods and services offered for sale in the majority of goods and services. The end users or consumers pay the GST but the companies selling these goods or services are remitted to the relevant state body. In essence, this tax is what generates revenue for the governments.

GST Meaning?

The GST is a VAT imposed on most domestic products and services. Consumers pay for the GST, but the companies that sell the goods and services are remitted to the government. GST actually provides the government with revenue.

You can easily calculate GST with our GST Calculator. It is free to use and does not require registration.


Goods and Services Tax: Break Down of GST

Most governments or state bodies levy different taxes. It is collected for state revenue to form state budget that is spent on the same people who give the taxes. It is spent on the people in the form of public property, social welfare, security, market regulation and law and order.

One of the most important of these taxes is GST. It is a non-direct federal sales tax that is applied to the prices of different goods and services. The businesses add this tax to the cost of the product or service, and the customer who buys the product or hires the service pays the GST added sales price.

The GST portion to the price of product or service is then forwarded to the government by the given company. Thus, it is also known as Value-Added Tax (VAT) in some countries like Singapore, Canada, Australia and New Zealand.

However, they are termed interchangeably due to some of the similarities although both these taxes are distinct. The similarities being that both of these taxes are there in various steps of transactions and that these taxes depend on the added value.

Now as mentioned above already, there are considerable differences between the two types of taxes. VAT is related to the production and circulation chain while GST comes up in the supply chain. In other words, VAT is linked to the instance of sales while GST is tied to the point of supply.


Countries that collect GST

France was the first of the nations to apply the Goods and Services tax back in 1954. Ever since, roughly a hundred and sixty countries have adopted the GST tax system in one way or another.

Some countries worth mentioning here include South Korea, Brazil, Nigeria, Singapore, UK, Monaco, Spain, Italy, India, Vietnam, Canada, and Australia.

GST Australia

The Australian GST (Goods & Services Tax) for the majority of products and services sales represents a 10% VAT, with some exceptions (e.g. certain items of food, healthcare, housing and concessions (including long-term accommodation with a 5.5% EFT) being charged for most transactions during the manufacturing process.

GST AUS can be calculated using Australian GST Calculator. Since GST calculations are different for different countries. Therefore, it is necessary to be calculated on GST Calculator Australian for the Australian GST “close to accurate” results.

Canada GST Rate

Harmonized Sales Tax (HST) or Goods and Services Tax (GST) is a nationally levied value-added tax by the federal government.

The HST constitutes the section of the provincial sales tax that is adhered to in New Brunswick, Ontario, Newfoundland, and Labrador, Nova Scotia and Prince Edward Island by the Canadian Revenue Agency (CRA) and is enforced under the laws of GST.

With the exception of Alberta, every province has either a harmonized sales tax or a provincial sales tax. The GST rate of the federal government is 5% effective from 1st January 2008.

There are no federal sales taxes in the Yukon, Northwest Territories and Nunavut, so only GST is collected. The Federal government is heavily subsidizing the three northern territories, and its citizens enjoy some extra tax incentives because of the high cost of living in the north.


How the GST System Work?

Most countries with a GST tax have a clearly defined and unified tax system, which means that a single tax rate is implemented all across the country.

A country with such a GST system can merge central taxes such as sales tax, excise duty tax, professional tax and services tax) with state level taxes like entertainment and luxury tax. It can then collect them as a unified single tax. These nations tax nearly everything at a single rate.


GST Calculator

Although, this tax is not hard to calculate, still however, it takes time when done manually as does any calculation.

For this purpose, ecalculator has developed GST calculator to help retailers and end users to determine this tax rate. As has been mentioned in the beginning, this calculator is free to use, like most of our other tools.

It has been developed solely to facilitate the users and speaking of that, it does not ask for any sort of user registration to the website either. There is no Quid Pro Quo here, we value our site users and visitors.

It is as simple as it comes and easy to use. All you have to do is put in the Net price and the percentage of GST implemented in your country and you’d get the GST rate on the product or service whose net price you put in.


How to calculate GST?

To explain how to calculate GST, we have broken down the mechanism below for you to understand if you wish to.

  • Find the net price (the cost of the product or service excluding the GST). Let's say it is $80.
  • Determine the GST rate. It would be 17% in our example. When expressed in percentages, it would be divided by 100. So, 17 / 100 = 0.17
  • Now, to calculate the amount of tax: multiply the net price with GST rate. $80 * 0.17 = $13.6.
  • Now to find the gross price: multiply the net price with GST tax (now again, we would get $13.6) rate and then we add it to the VAT exclusive cost:  $80 + $13.6 = $93.6

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