GST-Inclusive Selling Price Calculator
Set the right price with GST built in — or check how much you actually keep from a given MRP.
Tell us your costs and target margin — we'll tell you what to charge.
18% (electronics, cosmetics, most goods)
Recommended Selling Price
~ indicates approximate rounded price ending in ₹9
GST Amount (collected for govt)
₹140.14
Not your income — passed to government
Your Revenue (ex-GST)
₹778.57
What actually belongs to you
Pre-Tax Profit / Order
₹233.57
✓ Profitable
Net Margin on Revenue
30%
25.42% on full MRP
Full calculation
Breakdown of your selling price
How GST works for product sellers in India
GST (Goods and Services Tax) in India is a consumption tax collected at each stage of the supply chain. For a final seller, this means: when you sell a product, the price the customer pays already includes GST. You collect that GST on behalf of the government, file a return, and remit it. It is not your income.
This creates a common confusion: sellers see ₹1,499 come in and think their revenue is ₹1,499. On an 18% GST product, your actual revenue is ₹1,270 — the rest (₹229) belongs to the government. Pricing without accounting for this leads to margins that look healthy but aren't.
GST rates by product category (2026)
| GST Rate | Common Categories |
|---|---|
| 0% | Fresh vegetables, milk, eggs, books, newspapers, contraceptives |
| 5% | Packaged food, tea, coffee, edible oils, fertilisers, life-saving drugs |
| 12% | Apparel under ₹1,000, processed food, mobile phones, agri equipment |
| 18% | Electronics, cosmetics, soaps, most manufactured goods, restaurant services |
| 28% | Luxury goods, large appliances, AC, cement, tobacco, aerated drinks |
Rates simplified for illustration. Always confirm with your CA or the official GST portal.
How the selling price formula works
To set a price that covers your costs and hits a target margin, with GST already included:
Revenue (ex-GST) = Total costs ÷ (1 − target margin %)
GST amount = Revenue (ex-GST) × GST rate ÷ 100
Selling price = Revenue (ex-GST) + GST amount
Example at 30% target margin, 18% GST, total cost ₹545:
Revenue (ex-GST) = 545 ÷ (1 − 0.30) = ₹778.57
GST amount = 778.57 × 18 ÷ 100 = ₹140.14
Selling price = 778.57 + 140.14 = ₹918.71 → Rounded: ₹919
Frequently asked questions
Is target margin on MRP or on revenue?
This calculator uses margin on revenue excluding GST — the amount that actually belongs to you. This is the standard retail convention. A 30% margin means: for every ₹100 you earn (ex-GST), ₹30 is profit and ₹70 covers your costs.
What is the difference between margin and markup?
Margin is profit as a % of revenue. Markup is profit as a % of cost. A 30% margin = 43% markup. The formula: markup% = margin% ÷ (100 − margin%). This calculator uses margin.
Why does the recommended price end in 9?
Prices ending in 9 (₹499, ₹999, ₹1,499) are a well-researched pricing convention — buyers perceive them as cheaper. The calculator finds the next ₹X9 price above your exact required price and marks it as approximate.
Should I include marketplace fees in my cost inputs?
For marketplace selling, yes — add referral fee, closing fee, shipping, and return costs to your total cost before using this tool. Alternatively, use our Amazon & Flipkart Profit Calculator which handles all marketplace fees automatically.
Do I need to be GST registered to use this tool?
No. The tool is useful for any seller, registered or not, to understand how GST affects pricing. However, only GST-registered businesses can collect GST from buyers and claim input tax credit.