GST rates in India after September 2025
The GST Council simplified the rate structure with effect from 22 September 2025. Most goods and services now attract either 5% or 18%. A 40% rate applies to a short list of luxury and "sin" goods, and special rates of 0.25% and 3% continue for rough diamonds and precious metals. The earlier 12% and 28% slabs were withdrawn for almost all items. Rates for specific products still change from time to time, so confirm yours on theCBIC GST portal before invoicing.
GST formulas
| Task | Formula | Example at 18% |
|---|---|---|
| Add GST | GST = price × rate ÷ 100 | ₹1,000 → GST ₹180 → total ₹1,180 |
| Remove GST | price = total ÷ (1 + rate ÷ 100) | ₹1,180 → price ₹1,000 → GST ₹180 |
| Intra-state split | CGST = SGST = GST ÷ 2 | ₹180 → CGST ₹90 + SGST ₹90 |
| Inter-state | IGST = full GST | ₹180 IGST |
Common mistakes
- Subtracting 18% from a GST-inclusive total. ₹1,180 minus 18% is ₹967.60, not ₹1,000. Divide by 1.18 instead.
- Charging IGST to a customer in your own state, or CGST/SGST to one in another state. The place of supply decides.
- Forgetting that advertising (Google, Meta), software subscriptions and professional fees are all taxed at 18%, and that you can claim input credit on them if you are registered.
Frequently asked questions
How do I calculate GST on an amount?
To add GST: GST amount = price × rate ÷ 100, and the total = price + GST. For example ₹1,000 at 18% is ₹180 GST and ₹1,180 in total. The calculator does this when you choose 'Add GST'.
How do I remove GST from a total (reverse GST)?
Base price = total ÷ (1 + rate ÷ 100). For a ₹1,180 bill at 18%, the base price is ₹1,180 ÷ 1.18 = ₹1,000 and the GST is ₹180. Choose 'Remove GST' to do this.
What are the GST rates in India now?
After the GST Council's changes effective 22 September 2025, most goods and services fall under 5% or 18%. A 40% rate applies to a small list of luxury and sin goods such as tobacco, pan masala and large cars; 0.25% and 3% apply to rough diamonds and precious metals. The old 12% and 28% slabs were largely withdrawn. Always confirm the rate for your product on the official CBIC GST portal.
What is the difference between CGST, SGST and IGST?
On a sale within one state the GST is split equally between the centre (CGST) and the state (SGST, or UTGST in a union territory): 18% becomes 9% + 9%. On a sale from one state to another the full amount is charged as IGST. The total tax is the same either way.
Is GST charged on Facebook and Google ads?
Yes, 18% GST applies to advertising services from Meta and Google in India. Try our Facebook ads cost calculator and Google Ads cost calculator, which both include GST.