Marketplace billing in India requires splitting retail prices (M.R.P) into base taxable values and separate tax components (CGST + SGST or IGST). Calculate your split instantly for B2B logs.
Your net product value before tax is ₹846.61, with a total GST liability of ₹152.39.
Under the Indian GST (Goods and Services Tax) regime, any product sold online must display a tax-inclusive retail price to buyers. However, when writing invoices for your accountants, filing GSTR-1, or logging B2B settlements, you are required to split this total price back into the net taxable base value and tax segments.
Many amateur sellers mistakenly calculate the base value by subtracting the GST rate directly (e.g. subtracting 18% from ₹999 to get ₹819). This is mathematically incorrect. Since the tax is already added to the base value, the extraction formula must divide by the tax factor:
If you ship products to a customer located in your own state (Intrastate), you split the tax equally into CGST (Central Government) and SGST (State Government). For interstate orders, the entire tax amount is filed under IGST (Integrated GST).