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India GST Rate Reference (2024-25)

India's Goods and Services Tax uses a 4-slab structure: 5%, 12%, 18%, and 28%. A separate category covers exempt / zero-rated goods. The rate that applies depends on the HSN (Harmonised System of Nomenclature) code for goods or the SAC (Services Accounting Code) for services.

GST RateCGST / SGST splitCommon examples
0% (Exempt)—Fresh vegetables, milk, eggs, bread, books, educational services, healthcare
5%2.5% + 2.5%Packaged food, footwear under ₹1,000, economy hotels, rail/air (economy class)
12%6% + 6%Processed food, mobile phones, business class travel, work contracts
18%9% + 9%IT/software services, most manufactured goods, restaurants (AC), financial services
28%14% + 14%Luxury cars, ACs, large TVs, cement, tobacco, aerated drinks, casinos

For inter-state transactions, IGST (Integrated GST) applies at the full rate instead of splitting into CGST + SGST. IGST is administered by the Central Government and later apportioned to the destination state.

Add vs Remove GST: The Formulas

The two most common GST calculations are adding GST to a base price (for invoicing) and removing GST from an inclusive price (for finding the pre-tax cost from an MRP or quoted price).

Adding GST

GST = Base × Rate / 100

Total = Base + GST

Example: ₹10,000 + 18% GST = ₹10,000 + ₹1,800 = ₹11,800

Removing GST (Reverse)

Base = Total / (1 + Rate/100)

GST = Total − Base

Example: ₹11,800 inclusive at 18% → Base = ₹10,000, GST = ₹1,800

The reverse calculation (removing GST) is used when a price is quoted inclusive of tax and you need the taxable value for your books, or when claiming Input Tax Credit (ITC) on a purchase.

Want the full GST guide — ITC, filing, and registration?

Our guide explains input tax credit, who must register, and key filing deadlines.

Read the guide →

Source: GST Council of India (gst.gov.in). Rates verified against the GST Act for FY 2024-25. Last reviewed: October 2025.