ML Aggarwal Solutions for Chapter 1 GST Class 10 Maths ICSE

Here, we are providing the solutions for Chapter 1 GST from ML Aggarwal Textbook for Class 10 ICSE Mathematics. Solutions of the first chapter has been provided in detail. This will help the students in understanding the chapter more clearly. Class 10 Chapter 1 GST ML Aggarwal Solutions for ICSE is one of the most important for the board exams which is based on the tax system of India.

1. An article is marked at ₹15000. A dealer sells it to a consumer at 10% profit. If the rate of GST is 12%, find:

(i) the selling price (excluding tax) of the price.

(ii) the amount of tax (under GST) paid by the consumer.

(iii) the total amount paid by the consumer.

Answer

(i) the selling price (excluding tax) of the article.

15000 + (15000×10)/100

= 150000 + 1500 = 16500


(ii) the amount of tax (under GST) paid by the consumer.

(16500 × 12)/100 = 1980


(iii) the amount paid by the consumer

= 16500 + 1980 = 1848


2. A shopkeeper buy goods worth 4000 and sells these at a profit of 20% to a consumer in the same state. If GST is charged at 5%, find:

(i) the selling price (excluding tax) of the goods.

(ii) CGST paid by the consumer.

(iii) SGST paid by the consumer.

(iv) the total amount paid by the consumer.

Answer

(i) the selling price (excluding tax) of the goods.

4000 + 4000 × 20/100

= 4000 + 800 = 4800


(ii) CGST paid by the consumer.

4800 × 2.5/100 = 120


(iii) SGST paid by the consumer.

4800 × 2.5/100 = 120


(iv) the total amount paid by the consumer.

Amount = Selling price + CGST + SGST

= 4800 + 120 + 120 = 504


3. The marked price of an article is 12500. A dealer in Kolkata sells the article to consumer in the same city at a profit of 8%. If the rate of GST is 18&, find

(i) the selling price (excluding tax) of the article

(ii) IGST, CGST and SGST paid by the dealer to the Central and State Government

(iii) the amount which the consumer pays for the article.

Answer

(i) the selling price (excluding tax) of the article

= 12500 + 12500 × 8/100

= 12500 + 100 = 13500


(ii) IGST, CGST and SGST paid by the dealer to the Central and State Government

IGST, is nil due to intra state

CGST paid by the dealer to the Central Government

= 13500 × 9/100 = 1215

SGST paid by the dealer to the State Government

13500 × 9/100 = 1215

SGST paid by the dealer to the State Government

13500 × 9/100 = 1215


(iii) the amount which the consumer pays for the article.

Amount = Selling price + CGST+ SGST

= 13500 + 1215 + 1215 = 15930


4. A shopkeeper buys an article from a wholesaler for 20000 and sells it to a consumer at 10% profit, If the rate of GST is 12%, find the tax liability of the shopkeeper.

Answer

CP of article = 20000

Profit = 10% profit

Rate of GST is 12%

Rate of GST is 12%

To find the tax liability first find Selling Price

SP = CP + Profit

SP = 20000 + 20000 × 10/100

= 20000 + 2000

= 22000

Now the tax liability = output CGST + SGST – input CGST + SGST

= 22000 × 5/100 + 22000 × 5/100

= 1100 + 1100

= 2200


5. A dealer buys an article for 6000 from a wholesaler. The dealer sells the article consumer at 15% profit. If the sales are intra-state and the rate of GST is 18%, find

(i) Input CGST and output SGST paid by the dealer.

(ii) output CGST and output SGST collected by the dealer.

(iii) the net CGST and SGST paid by the dealer.

(iv) the total amount paid by the consumer.

Answer

(i) input CGST and input SGST paid by the dealer.

Input CGST 6000 × 9/100 and input SGST 6000 × 9/100

540 and 540


(ii) first find SP

CP + Profit

6000 + 6000 × 15/100

= 6000 + 900 = 6900

Output CGST 6900 × 9/100 and output SGST 6900 × 9/100

= 621 + 621 = 1242


(iii) the net CGST paid by the dealer.

Net CGST paid by the dealer = output CGST – input CGST

= 621 – 540 = 81

Net SGST paid by the dealer.

Net SGST paid by the dealer = output SGST – input SGST

= 621 – 540 = 81


(iv) the total amount paid by the consumer.

SP + SGST + CGST

= 6900 + 81 + 81

= 7062


6. A manufacturer buys raw material worth 7500 paying GST at the rate of 5%. He sell the finished product to a dealer at 40% profit. If the purchase and the sale both are intra-state and the rate of GST for the finished product is 12%, find

(i) the input tax (under GST) paid by the manufacturer

(ii) the output tax (under GST) collected by the manufacturer

(iii) the tax (under CST) paid by the manufacturer to the Central and State Governments.

(iv) the amount paid by the dealer for the finished product.

Answer

(i) SP = 7500 + 7500 × 40/100

SP = 7500 + 3000

SP = 10500

The input tax (under GST) paid by the manufacturer

CGST = 7500 × 2.5/100 = 187.5

SGST = 7500 × 2.5/100 = 187.5


(ii) the output tax (under GST) collected by the manufacturer

CGST = 10500 × 6/100 = 630


(iii) the tax (under CST) paid by the manufacturer to the Central Governments.

CGST = output tax – input tax

CGST = 10500 × 6/100 – 7500 ×2.5/100

= 630 – 187.5 = 442.50

SGST = output tax – input tax

SGST= 10500 × 6/100 – 7500 × 2.5/100

= 630 – 187.5

= 442.50


(iv) the amount paid by the dealer for the finished product.

= SP + Tax

= 10500 + 10500 × 12/100

= 10500 + 1260

= 1176


7. A manufacturer sells a TV. to a dealer for 18000 and the dealer sell it to a consumer at a profit of Rs 1500. If the sales are intra-state and the rate of GST is 12%, find:

(i) the amount of GST paid by the dealer to the State Government

(ii) the amount of GST received by the Central Government

(iii) the amount of GST received by the State Government T.V.

(iv) the amount that the consumer pays for the TV

Answer

Since it is a case of intra-state transaction of goods and services

∴ SGST = CGST = ½ GST

Given a manufacturer sells T.V. to a dealer = ₹ 18000

Amount of GST collected by manufacturer from Dealer

CGST = SGST = 6% of ₹ 18000 = 6/100 × 18000 = ₹ 1080

∴ Manufacturer will pay ₹ 1080 as CGST and ₹1080 as SGST

Amount of input GST of dealer = Input CGST = ₹ 1080 and Input SGST = ₹ 1080

∴ C.P. of a T.V. for dealer = ₹ 18000

Profit = ₹ 1500

Selling Price of a TV for dealer to customer – C.P. + Profit = ₹ 18000 + ₹ 1500 = ₹ 19500

Amount of GST collected by dealer from customer:

CGST = SGST = 6% of ₹ 19500 = 6/100 × 19500 = ₹ 1170 and Output SGST = ₹ 1170

∴ Amount of output GST of dealer = Output CGST = ₹ 1170 and Output SGST = ₹ 1170


(i) Amount of GST paid by the dealer to the State Government = output CGST – Input CGST

= ₹ 1170 - ₹ 1080 = ₹ 90


(ii) Amount of CGST paid by the dealer = Output CGST – Input CGST = ₹ 1170 - ₹ 1080 = ₹ 90

∴ Amount of CGST received by Central Govt. = CGST paid by manufacturer + CGST paid by dealer = ₹ 1080 + ₹ 90 = ₹ 1170


(iii) Amount of SGST paid by dealer = Output SGST – Input SGST = ₹ 1170 – ₹ 1080 = ₹ 90

∴ Amount of SGST received by State Govt. = SGST paid by manufacturer + SGST paid by the dealer = ₹ 1080 + ₹ 90 = ₹ 1170

(iv) Amount paid by customer for T.V. = Cost price of T.V. + CGST paid by the customer + SGST paid by the customer = ₹ 19500 + ₹ 1170 = ₹ 21840


8. A shopkeeper buys a camera at a discount of 20% from a wholesaler, the printed price of the camera being Rs 1600. The shopkeeper sells it to a consumer at the printed price

If the sales are intra-state and the rate of GST is 12%, find:

(i) GST paid by the shopkeeper to the Central Government.

(ii) GST received by the Central Government.

(iii) GST received by the State Government

(iv) the amount at which the consumer bought the camera

Answer

Since, it is a case of intra-state transaction of goods and services.

∴ SGST = CGST = ½ GST

Given, printed price of a camera = ₹ 1600; Rate of discount = 20%

C.P. of a camera for shopkeeper = Printed price – Discount = ₹ 1600 - 20% of ₹ 1600

= ₹ 1600 – 20/100 × 1600

= ₹ 1600 - ₹ 320

= ₹ 1280

Given, rate of GST = 12%

 Amount of GST paid by the shopkeeper to the wholesaler;

CGST = SGST = 6% of ₹ 1280 = 6/100 × 1280

= ₹ 76.80

(i) Amount of input GST of the shopkeeper: CGST - ₹ 76.80 and SGST - ₹ 76.80

Selling price of a camera by the shopkeeper to a consumer = ₹ 1600

Amount of GST paid by the consumer to shopkeeper:

 CGST = SGST = 6% of 1600 = 6/100 × 1600

= ₹ 96

Amount of output GST of the shopkeeper = Output CGST = ₹ 96 and Output SGST = ₹ 96

Amount of GST paid by the shopkeeper to the Central Govt. = Output CGST – Input CGST

= ₹ 96 - ₹ 76.80

= ₹ 19.20


(ii) Amount of CGST paid by the shopkeeper = Output CGST – Input CGST = ₹ 96 - ₹ 76.80

= 19.20

∴ Amount of GST received by the Central Government = CGST paid by the wholesaler + CGST paid by the shopkeeper = ₹ 76.80 + ₹ 19.20

= ₹ 96


(iii) Amount of SGST paid by the shopkeeper – Output SGST – Input SGST = ₹ 96 - ₹ 76.80

= ₹ 19.20

∴ Amount of GST received by the State Government = SGST paid by the wholesaler + SGST paid by the shopkeeper = ₹ 76.80 + ₹ 19.20

= ₹ 96


(iv) The amount paid by the customer for camera = Cost price of a camera to consumer + CGST paid by the consumer + SGST paid by consumer = ₹ 1600 + ₹ 96 + ₹ 96

= ₹ 1792


9. A dealer buys an article at a discount of 30% from the wholesaler, the marked price being 6000. The dealer sells it to a consumer at a discount of 10% on the marked price.

If the sales are intra-state and the rate of GST is 5%, find

(i) the amount paid by the consumer for the article.

(ii) the tax (under GST) paid by the dealer to the State Government.

(iii) the amount of tax (under GST) received by the Central Government

Answer:

Since, it is a case of intra – state transaction of good and service.

SGST = CGST = ½ GST; Rate of GST = 5%

Given Marked price of an article = ₹ 6000

Rate of discount given by the wholesaler = 30%

∴ C.P. of an article for dealer = Marked price – Discount = ₹ 6000 – 30% of ₹ 6000

= ₹ 6000 – 30/100 × 6000

= ₹ 6000 – 1800

= ₹ 4200

Amount of GST paid by the dealer to the wholesaler:

CGST = SGST = 2.5% of ₹ 4200

= 2.5/100 × 4200

= ₹ 105

∴ Amount of input GST for dealer : Input CGST = ₹ 105, Input SGST = ₹ 105


(i) Rate of discount given by dealer to consumer = 10% of marked price

Selling price of an article for consumer = Marked price – Discount = ₹ 6000 – 10% of ₹ 6000

= ₹ 6000 – 10/100 × 6000

= 5400

Amount of GST paid by consumer to dealer:

CGST = SGST = 2.5% of ₹ 5400

= 2.5/100 × 5400

= ₹ 135

∴ Amount of Output GST for dealer, Output CGST = ₹ 135, Output SGST = ₹ 135

∴ Amount paid by the consumer for an article = C.P. of an article for consumer + CGST paid by the consumer + SGST paid by the consumer = ₹ 5400 + ₹ 135 + ₹ 135

= ₹ 5670


(ii) Amount of SGST paid by the dealer to the State Government= Output CGST – Input CGST

= ₹ 135 - ₹ 105

₹ 30

(iii) Amount of CGST paid by the dealer to Central Government = Output CGST – Input CGST

= ₹ 135 - ₹ 105

= ₹ 30

∴ Amount of GST received by Central Government = CGST paid by the wholesaler + CGST paid by dealer = ₹ 105 + ₹ 30

= ₹ 135


10. The printed price of an article is 50000. The wholesaler allows a discount of 10% to a shopkeeper. The shopkeeper sells the article to a consumer at 4% above the marked price. If the sales are intra-state and the rate of GST is 18%, find:

(i) the amount inclusive of tax (under GST) which the shopkeeper pays for the article

(ii) the amount paid by the consumer for the article.

(iii) the amount of tax (under GST) paid by the shopkeeper to the Central Government

(iv) the amount of tax (under GST) received by the State Government.

Answer:

Since, it is case of intra-state transaction of goods and services.

∴ SGST = CGST = ½ GST; Rate of GST = 18%

Given, Marked price of an article = ₹ 50000


(i) Rate of discount given by the wholesaler = 10%

∴ C.P. of an article for shopkeeper = Marked price – Discount = ₹ 50000 – 10% of 50000

= ₹ 50000 – 10/100 × 50000

= ₹ 50000 – 5000

= ₹ 45000

Amount of GST paid by the dealer to the wholesaler:

CGST – SGST = 9% of 45000 – 9/100 × 4500

₹ 4050

∴ Amount of input GST for dealer : Input CGST = ₹ 4050, Input SGST = ₹ 4050

∴ Amount paid by the shopkeeper for an article = C.P. of an article for shopkeeper + CGST paid by the consumer + SGST paid by the consumer = ₹ 45000 + 4050 + ₹ 4050

= ₹ 53100


(ii) Rate of discount given by shopkeeper to consumer = 4% of marked price

Selling price of an article for consumer = Marked price – Discount

= ₹ 50000 – 4% of ₹ 50000

= ₹ 50000 + 4/100 × 50000

= ₹ 52000

Amount of GST paid by consumer to dealer:

CGST – SGST = 9% of ₹ 52000

= 9/100 × 52000

= ₹ 4680

∴ Amount of Output GST for dealer : Output CGST = ₹ 4680, Output SGST = ₹ 4680

∴ Amount paid by the consumer for an article = C.P. of an article for consumer + CGST paid by the consumer + SGST paid by the consumer

= ₹ 52000 + ₹ 4680

= ₹ 61360


(iii) Amount of CGST paid by the shopkeeper to Central Government = Output CGST - Input CGST

= ₹ 4680 - ₹ 4050

= ₹ 630


(iv) Amount of SGST paid by the shopkeeper to the State Government = Output SGST – Input SGST = ₹ 4680 - ₹ 4050

= 630

∴ Thus, required amount of tax (under GST) received by State Government = SGST paid by the wholesaler + SGST paid by shopkeeper = ₹ 4050 + ₹ 630

 = ₹ 4680


11. A retailer buys a T.V. from a wholesaler for 40000. He marks the price of the TV 15% above his cost price and sells it to a consumer at 5% discount on the marked price. If the sales are intra-state and the rate of GST is 12%, find;

(i) the marked price of the TV.

(ii) the amount which the consumer pays for the TV,

(iii) the amount of tax (under GST) paid by the retailer to the Central Government.

(iv) the amount of tax (under GST) received by the State Government.

Answer:

(i) Given C.P. of T.V. for retailer = ₹ (40,000)

∴ Marked price of T.V. - ₹(40,000 + 15% of 40,000)

₹ (40,000 + 15/100 × 40,000)

= ₹ (40,000 + 6000)

= ₹ 46,000


(ii) Discount given by retailer = 5% of ₹ 46000 = (5/100 × 46000)

= ₹ 2300

∴ Amount paid by consumer without GST for T.V. = ₹ 46,000 - ₹ 2300

= ₹ 43,700

Rate of GST = 12%

∴ Amount of GST paid by consumer = 12% of ₹ 43700

= ₹ (12/100 × 43700)

= ₹ 5244

∴ Amount which the consumer pays for TV = ₹ (43,700 + 5244)

= ₹ 48,944


(iii) Input CGST paid by shopkeeper = 6% of ₹ 40,000

= 6/100 × 40,000

= ₹ 2400

and SGST = 6% of ₹ 40000

= ₹ 2400

The shopkeeper sells the article to consumer = ₹ 43,700

∴ GST collected by shopkeeper = 12% of ₹ 43,700

= ₹ 5244

∴ Output CGST of shopkeeper = Output SGST = 6% 43,700 – (6/100 × 43,700)

= ₹ 2622

∴ Amount of tax (under GST) paid by retailer to Central Government = Output CGST – Input CGST

= ₹ 2622 - ₹ 2400

= ₹ 222


(iv) SGST paid by wholesaler = ₹ 2400 and SGST paid by shopkeeper = ₹ 222


12. A shopkeeper buys an article from a manufacturer for 12000 and marks up it price by 25%. The shopkeeper gives a discount of 5% on the balance to a customer of T.V. If the sales are

Intra-state and the rate of GST is 12%, find:

(i) the price inclusive of tax (under GST) which the consumer pays for the T.V.

(ii) the amount of tax (under GST) paid by the shopkeeper to the State Government.

(iii) The amount of tax (under GST) received by the Central Government,

Answer

(i) C.P. of an article for shopkeeper= ₹ 12000

M.P. of article = ₹ (12000 + 25% of 12000)

= ₹ (12000 + 25/200 × 12000)

= ₹ 15000

Amount of discount given by shopkeeper = 10% of ₹ 15000

= (10/100 × 15000)

= ₹ 1500

Further, shopkeeper gives off season discount of 5% on balance – 5% of (15000 – 1500)

= 5/100 × 13500

= ₹ 675

∴ C.P. of T.V. for consumer = ₹(13500 – 675)

= ₹ 12825

Amount of GST paid by consumer =12% of ₹ 12825

= (12/100 × 12825)

= ₹ 1539

Thus, price inclusive of Tax (under GST) which the consumer pays for T.V. = ₹ (12825 – 1539)

= ₹ 14364


(ii) GST paid by shopkeeper to wholesaler :

CGST = SGST = 6% of 12000 – 6/100 × 12000 = ₹ 720

 ∴ Amount of input GST of the shopkeeper; (CGST - ₹ 720; SGST = ₹ 720)

GST paid by consume to shopkeeper:

CGST = SGST = 6% of 12825

= (6/100 × 12825)

= ₹ 769.50

∴ Amount of output GST of the shopkeeper : CGST = 769.50 and SGST = 769.50

∴ The amount of Tax (under GST) paid by shopkeeper to State Government = Output SGST – Input SGST = ₹ (769.50 – 720)

= ₹ 49.50


(iii) CGST paid by manufacturer = ₹ 720

CGST paid by shopkeeper = ₹ (769.50 – 720)

= ₹ 49.50

∴ The amount of tax(under GST) received by Central Government = ₹ (720 + 49.50)

= ₹ 769.50


13. The printed price of an article is 40000. A wholesaler in Uttar Pradesh buys the article from the manufacturer in Gujarat at a discount of 10% on the printed price. The wholesaler …….. the article to a retailer in Himachal at 5% above the printed price. If the ate of GST on the article to 18%, find:

(i) the amount inclusive of tax (under GST) paid by the wholesaler for the article.

(ii) the amount inclusive of tax (under GST) paid by the retailer for the article.

(iii) the amount of tax (under GST) paid by the wholesaler to the Central Government.

(iv) the amount of tax (under GST) received by the Central Government.

Answer

Given printed price of an article = ₹ 40000; Rate of GST = 18%

Hence both given sales from manufacturer to wholesaler and wholesaler to retailer are inter-state

∴ CGST = SGST = 0

∴ GST = IGST

Discount given by manufacturer = 01% of ₹ 40000

= ₹ (10/100 × 40000)

= ₹ 4000

∴ Cost price of article for wholesaler = ₹ (40000 – 4000)

= ₹ 36000

The C.P. of article without tax for retailer = ₹ 40000 + 5% of ₹ 40000

= ₹ (40000 + 5/100 × 40000)

= ₹ 42,000


(i) Amount of IGST (GST) paid by wholesaler to manufacturer = 18% of ₹ 36000

 = ₹ (18/100 × 36000)

= ₹ 6480

∴ Amount inclusive of tax paid by wholesaler for the article = ₹ (36000 + 6480)

= ₹ 42480


(ii) Amount of GST paid by retailer to wholesaler = 18% of ₹ 42000

= ₹ (18/100 × 42000)

= ₹ 7650

∴ Amount inclusive of tax paid by retailer for the article = ₹ (42000 + 7560)

= ₹ 49560


(iii) Amount of GST paid by wholesaler to manufacturer = 18% of ₹ 36000

= ₹ 6480

Amount of GST collected by wholesaler or paid by retailer = 18% of ₹ 42000

= ₹ 7560

∴ required amount of tax (under GST) paid by wholesaler to Central Government = Output IGST – Input IGST

= ₹ (7560 – 6480)

= ₹ 1080

IGST paid by wholesaler to Central Government = ₹ 1080

IGST paid by manufacturer = ₹ 6480

∴ Total tax (under GST) received by Central Government = ₹ (1080 + 6480)

= ₹ 7560


14. A dealer in Delhi buys an article for 16000 from a wholesaler in Delhi. He sells the article to a consumer in Rajasthan at a profit of 25%. If the rate of GST is 5%, find:

(i) in the tax (under GST) paid by the wholesaler to Governments.

(ii) the tax (under GST) paid by the dealer to the Government

(iii) the amount which the consumer pay for the article.

Answer :

SP of dealer = 16000+ 16000 × 25/100

= 16000 + 4000

= 20000


(i) CGST paid by the wholesaler to Governments.

Output tax – Input tax

= 20000 × 2.5/100 – 1600 × 2.5/100

= 400

SGST paid by the wholesaler to Governments

= Output tax - Input tax

= 20000 × 2.5/100 - 16000 × 2.5/100

= 400


(ii) CGST paid by the wholesaler to Governments.

= Output tax – Input Tax

= 20000 × 2.5/100 – 16000 × 2.5/100

= 200 IGST to central government

(iii) the amount which the consumer pay for the article.

= SP + Tax

= 20000 + 20000 × 5/100

= 21000


15. A shopkeeper in Delhi buys an article at the printed price of 24000 from a wholesaler in Mumbai. The shopkeeper sells the article to a customer in Delhi at a profit of 15% on the basic cost price. If the rate of GST is 12%, find:

(i) the price inclusive of tax (under GST) at which the shopkeeper bought the article.

(ii) the amount which the consumer pays for the article.

(iii) the amount of tax (under GST) received by the State Government of Delhi.

(iv) the amount of tax (under GST) received by the Central Government.

Answer:

(i) C.P. of an article for shopkeeper = ₹ 24000;

Rate of GST = 12%

As the shopkeeper buys an article from a wholesaler in Mumbai

IGST collected by wholesaler from shopkeeper = 12% of ₹ 24000

= 12/100 × 24000

= ₹ 2880

The price of an article at which shopkeeper bought = Cost price of an article for shopkeeper + IGST paid by the shopkeeper to wholesaler = ₹ 24000 + ₹ 2880

= ₹ 26880


(ii) C.P. of an article for shopkeeper = ₹ 24000

Profit on the C.P. of an article = 15% of C.P.

S.P. of an article by the shopkeeper to consumer = C.P. + Profit

= ₹ 24000 + 15% of ₹ 24000

= ₹ 24000 + ₹ (15/100 × 24000)

= ₹ 24000 + ₹ 3600

= ₹ 27600

Amount paid by customer for an article = C.P. of an article for consumer + GST paid by the consumer = C.P. + CGST paid by consumer + SGST paid by he consumer

= ₹ 27600 + ₹ (6/100 × 27600) + ₹ (6/100 × 27600)

= ₹ 27600 + ₹ 1656 + ₹ 1656

= ₹ 30912


(iii) Amount of input IGST for shopkeeper = ₹ 2880

The shopkeeper sells an article to consumer at the profit of 15% on the basic C.P. of an article.

∴ S.P. of an article to consumer = C.P. of an article for shopkeeper + Profit on Basic cost price

= ₹ 24000 + 15% of ₹ 24000

= ₹ 24000 + ₹ (15/100 × 24000)

= ₹ 24000 + ₹ 3600 - ₹ 27600

As the shopkeeper sells an article to consumer in Delhi; so this sales is Intra-state sales.

Amount of GST collected by shopkeeper from consumer;

CGST – SGST

= 6% of ₹ 27600

= 6/100 × 27000

= ₹ 1656

Amount of output GST of shopkeeper = CGST= ₹ 1656 and SGST = ₹ 1656

Amount of tax paid by the shopkeeper to State Govt. = First set off ₹ 2800 input IGST against ₹ 1656 output IGST

Then Set off the balance ₹ 1224 (₹ 2880 - ₹ 1656) Input IGST against output SGST

∴ SGST paid by the shopkeeper to the State Government (Delhi) = Output SGST – Balance of input IGST = ₹ 1656 - ₹ 1224

= ₹ 432


(iv) Amount of Tax received by the Central Govt. = IGST received from wholesaler + CGST received from shopkeeper = ₹ 2880 + NIL

= ₹ 2880


16. A dealer in Maharashtra buys an article from a wholesaler in discount of 25%, the printed price of the article being ₹20000. He sells the article to a consumer in Telangana at a discount of 10%, on the printed price. If the rate of GST is 12%,, find:

(i) the tax (under GST) paid by the wholesaler of Governments.

(ii) the tax (under GST) paid by the dealer to the Governments.

(iii) the amount which the consumer pays fro the article.

Answer:

(i) the tax (under GST)paid by the wholesaler to Governments.

SGST paid by the wholesaler to Governments.

= 15000 × 6/100

= 900 to Maharashtra Govt.

CGST paid by the wholesaler to Governments

= 15000 × 6/100

= 900 to Maharashtra Govt.


(ii) the tax (under GST) paid by the dealer to the Government

Now sells are inter state hence all tax to central govt

CGST = Output – Input

= 18000 × 12/100 – 15000 × 12/100

= 360 IGST to Central Govt.


(iii) the amount which the consumer pays for the article.

= SP of dealer + Tax

= 18000 + 18000 × 12/100

= 18000 + 2160

= 20160


17. Kiran purchases an article for ₹5310 which includes 10% rebate on the marked price and 18% tax (under GST) on the remaining price. Find the marked price of the article.

Answer :

Let MP be = x

Discount value = (x × 10)/100

= x/10

So SP = MP – Dis. Value

= x – x/10

= 9x/10

And tax value = SP × tax%

= 9x/10 × 18/100

 = 162x/1000

Hence amount = SP + tax value

= 9x/10 + 162x/1000

= (900x + 162x)/1000

= 1062x/1000

But Amount = 5310 given

1062x/1000 = 5310

x = (5310 × 1000)/1062

= 5000


18. A shopkeeper buys an article whose list price is 8000 at some rate of discount from a wholesaler. He sells the article to a consumer at the list price. The sales are intra-state and the rate of GST is 18%. If the shopkeeper pay a tax (under GST) of 72 to the State Government, find the rate of discount at which he bought the article from the wholesaler.

Answer:

Given list price of an article = ₹ 8000

Let the rate of discount given by wholesaler = x%

Discount given by wholesaler = x% of ₹ 8000 = (x/100 × 8000)

= ₹ 80x

Thus, C.P. of the article for shopkeeper = ₹ (8000 - 80x)

Further given C.P. of article for consumer = ₹ 8000

Since the sales are intra state and rate of GST = 18%

CGST = SGST = 9%

Amount of GST paid by shopkeeper to wholesaler:

 SGST = CGST = 9% of ₹ (8000 – 80x)

= 9/100 (8000 - 80x)

Amount of input GST of shopkeeper: CGST = SGST = 9/100 (8000 – 80x)

Amount of GST paid by consumer to shopkeeper:

CGST = SGST= 9% of 8000

= (9/100 × 8000)

= ₹ 720

Amount of output GST of shopkeeper CGST = SGST = ₹ 720

Thus, tax paid by shopkeeper to State Government = Output SGST – Input SGST

= 720 – 9/100 (8000 – 80x)

Also tax paid by shopkeeper to State Government = ₹ 72

72 – 720 – (9 × 80)/100 (100 – x)

⇒ 720 – 72 = 720/100(100 – x)

⇒ 648 = 72/10(100 – x)

100 – x = (648 × 10)/72 = 90

⇒ x = 100 – 90 = 10

Required rate of discount = 10%


Multiple Choice Questions

A retailer purchases a fan for Rs 1500 from a wholesaler and sells to a consumer at 10% profit. If the sales are intra-state and the rate of GST is 12%, then choose the correct answer from the given four options for questions 1 to 6:

1. The selling price of the fan by the retailer (excluding tax) is ?

(a) Rs 1500

(b) Rs 1650

(c) Rs 1848

(d) Rs 1800

Answer

(b) Rs 1650
Cost price of fan for retailer = ₹ 1500
Given profit% = 10%
∴ Selling price of fan by the retailer
= C.P. + 10% of C.P.


2. The selling price of an fan including tax (under GST) by retailer is?

(a) Rs 1650

(b) Rs 1800

(c) Rs 1848

(d) Rs 1830

Answer

(c) Rs 1848

Given, GST (rate) = 12%

Thus, the required selling price of fan including tax by the retailer (under GST)
= S.P. + GST = ₹ (1650 + 198) = ₹ 1848


3. The tax (under GST) paid by the wholesaler to the Central Government is?

(a) Rs 90

(b) Rs 9

(c) Rs 99

(d) 180

Answer

(a) Rs 90

The tax (under GST) paid by wholesaler to Central Government

[SGST – CGST = ½ × rate of GST – 6%]


4. The tax (under GST) paid by the retailer to the State Government?

(a) Rs 99

(b) Rs 9

(c) Rs 18

(d) Rs 198

Answer

(b) ₹9

Amount of input SGST of the retailer = 6% of ₹ 1500

Amount of tax (under GST) paid by retailer to State Government = Output SGST – Input SGST
= (99 – 9) = ₹9


5. The tax (under GST) received by the Central Government is ?

(a) Rs 18

(b) Rs 198

(c) Rs 90

(d) Rs 99

Answer

(d) Rs 99

Amount of CGST paid by the retailer = Output CGST – Input CGST

= ₹ (99-90) = ₹9

Thus, amount of tax (under GST) received by Central Government

= CGST paid by distributor + CGST paid by retailer 

= (6% of ₹1500) + 9

= 90 + 9 = ₹99


6. The cost of the fan to the consumer inclusive of tax is?

(a) Rs 1650

(b) Rs 1800

(c) Rs 1830

(d) Rs 1848

Answer

(d) Rs 1848

Here, selling price of fan = ₹1650

GST on fan = 12% of ₹1650

Thus, cost of a fan to the consumer inclusive of tax
= ₹ (1650+198) = ₹1848


7. A shopkeeper bought a TV front a distributor at a discount of 25% of the listed price of Rs 32000. The shopkeeper sells the TV to a consumer at the listed price. If the sales are intra-state and the rate of GST is 18%, then choose the correct from the given four options for questions 7 to 11:

The selling price of the TV including tax (under GST) by the distributor is?

(a) Rs 32000

(b) Rs 24000

(c) Rs 28320

(d) Rs 26160

Answer

(b) Rs 24000

Given, listed price of TV by the distributor = ₹32000

Rate of discount = 25%

Thus, CP of TV for shopkeeper or SP of TV for distributor = 32000 – 8000
= ₹ 24000


8. The tax (under GST) paid by the distributor to the State Government is

(a) Rs 4320

(b) Rs 2160

(c) Rs 2880

(d) Rs 720

Solution

(b) ₹2160

Tax (under GST) paid by distributor to the State Government

= SGST = 9% of ₹24000


9. The tax (under GST) paid by the shopkeeper to the Central Government is?

(a) Rs 720

(b) Rs 1440

(c) Rs 2880

(d) Rs 2160

Answer:

(a) 720

Amount of input CGST by the shopkeeper,

CGST = ₹2160, SGST = ₹2160

Amount of GST collected by the shopkeeper or paid by the consumer

= 18% of ₹32000

SGST = 5760/2 = ₹2880 = CGST

Amount of CGST paid by shopkeeper to Central Government = Output CGST – Input CGST

= 2880-2160 = ₹720


10. The tax (under GST) received by the State Government is?

(a) Rs 5760

(b) Rs 4320

(c) Rs 1440

(d) Rs 2880

Answer:

(d) ₹2880

Amount of SGST paid by Shopkeeper to state government = ₹ 720

∴ Total tax (under GST) received by State Government = ₹2160 +₹720 = ₹2880


11. The price including tax (under GST) of the T.V. paid by the consumer is

(a) Rs 28320

(b) Rs 37760

(c) Rs 34880

(d) Rs 32000

Answer

(d) Rs 32000

The price including tax (under GST) of the TV paid by the customer is ₹32000.


Chapter Test

1. A shopkeeper bought a washing machine at a discount of 20% from a wholesaler the printed price the washing machine being ₹15000. The shopkeeper sells it to a consumer at a discount of 10% on the printed price. If the sales are intra-state and the rate of GST is 12%, find:

(i) the price inclusive of tax (under GST) at which the shopkeeper bought the machine

(ii) the price which the consumer pays for the machine.

(iii) the tax (under GST) paid by wholesaler to the State Government

(iv) the tax (under GST) paid by the shopkeeper to the state Government

(v) the tax (under GST) received by the Central Government.

Answer

Printed Price of the washing machine = ₹18000

Discount rate = 20 %

Discount = (20/100) × ₹18000

= ₹3600

So, the selling price of the washing machine = ₹18000 – ₹3600 = ₹14400

The rate of GST = 12%

The taxes (under GST) for the purchase are

SGST = ₹14400 × (12/2)/100 = ₹864

CGST = ₹14400 × (12/2)/100 = ₹864

(i) Hence, the shopkeeper bought the machine at the price = ₹14400 + ₹864 + ₹864 =₹16128

(iii) The tax (under GST) paid by wholesaler to State Government = ₹864

Now,

The machine is sold to a consumer at 10% discount of the printed rice

Discount = (10/100) × ₹18000

= ₹1800

So, the selling price for the shopkeeper = ₹18000 – ₹1800 = ₹16200

The taxes (under GST) for the purchase are

SGST = ₹16200 × (12/2)/100 = ₹972

CGST = ₹16200 × (12/2)/100 = ₹972

(ii) Thus, the consumer paid a price = ₹16200 + ₹972 + ₹972 = ₹18144

Now,

(iv) The tax (under GST) paid by shopkeeper to State Government = ₹972 – ₹864 = ₹108

And,

(v) The tax (under GST) received by the central Govt = ₹972


2. A manufacturer listed the price of his goods at 1600 per article. He allowed a discount of 25% to a wholesaler who in turn allowed a discount of 20% on the listed price to a retailer. The retailer sells one article to a consumer at a discount of 5% on the listed price. If the sales are intrastate and the rate of GST is 5%, find:

(i) the price per article inclusive of tax (under GST) which the wholesaler pays.

(ii) the price per article inclusive of tax (under GST) which the retailer pays.

(iii) the amount which the consumer pays for the article

(iv) the tax (under GST) paid by the wholesaler to the State Government for the article.

(v) the tax (under GST) paid by the retailer to the Central Government for the article.

(vi) the tax (under GST) received by the State Government.

Solution:

(i) The listed price per article = ₹1600

Discount rate from the manufacture = 25%

Discount = (25/100) × ₹1600 = ₹400

So, the selling price per article to the wholesaler = listed price – discount

= ₹1600 – ₹400

= ₹1200

The rate of GST = 5%

GST = 5% of ₹1200

= (5/100) × ₹1200

= ₹60

Thus, the price per article inclusive of tax (under GST) which the wholesaler pays = selling price of the manufacture + GST

= ₹1200 + ₹60 = ₹1260


(ii) The wholesaler resells at a discount of 20% on the listed price per article to the retailer

Discount = (20/100) × ₹1600

= ₹320

So, the selling price of the wholesaler = listed price – discount

= ₹1600 – ₹320

= ₹1280

The rate of GST = 5%

GST = 5% of ₹1280

= (5/100) × ₹1280 = ₹64

Thus, the price per article inclusive of tax (under GST) which the retailer pays = selling price of the wholesaler + GST

= ₹1280 + ₹64 = ₹1344


(iii) Further, the retailer resells at a discount of 5% on the listed per article to the consumer

Discount = (5/100) × ₹1600

= ₹80

So, the selling price of the wholesaler = listed price – discount

= ₹1600 – ₹80 = ₹1520

The rate of GST = 5%

GST = 5% of ₹1520

= (5/100) × ₹1520 = ₹76

Thus, the price per article inclusive of tax (under GST) which the consumer pays = selling price of the retailer + GST

= ₹1520 + ₹76 = ₹1596


(iv) The tax (under GST) paid by the wholesaler to the State Government for the article = ₹(64 – 62)/2

= ₹4/2 = 2


(v) The tax (under GST) paid by the retailer to the Central Government for the article = ₹ (76 – 84)/2

= ₹12/2 = ₹6


(vi) The tax (under GST) received by the State Government = ₹76/2 = ₹38


3. Mukherjee purchased a movie camera for Rs 25488 which includes 10% rebate on the list price and 18% tax (under GST) on the remaining price. Find the marked price of the camera.

Answer

Let the marked price of movie camera = ₹ x

Given rate of rebate on M.P. = 10%

∴ C.P. of camera without GST = ₹(x – 10% of x)

= ₹ (x – x/10)

= ₹ 9x/10

 Rate of GST = 18%

∴ Amount of GST on C.P. = (18% of 9x/20)

= 18/100 × 9x/10

∴ C.P. of movie including GST = 9x/10 (1 +18/100)

= 118/100 × 9x/10

Also C.P. of movie camera including all tax and rebate = ₹ 25488

∴ 118/100 × 9x/10

= 25488

⇒ x = (25488 × 10 × 100)/(9 × 118)

⇒ x = 24000

Hence, the required marked price of movie camera = ₹ 24000


4. The marked Price of an article is Rs 7500. A shopkeeper buys the article from a wholesaler at some discount and sells to a consumer at the marked price. The sales are intra-state and the rate of GST is 12%. If the shopkeeper pays Rs 90 as tax (under GST) to the State Government find;

(i) the amount of discount

(ii) the price inclusive tax (under GST) of the article which the shopkeeper paid to the wholesaler.

Answer

Given marked price of article = ₹ 7500

Let the required rate of discount given by wholesaler to shopkeeper be x%

∴ discount given by wholesaler = x% of 7500

= ₹ (7500 – 75x)

C.P. of article for consumer = ₹ 7500 and rate of GST = 12%

It is case of inter-state, rate of SGST = rate of CGST = 6% amount of GST paid by shopkeeper to wholesaler SGST = CGST = 6% of (7500 – 75x)

= 6/100 (7500 – 75x)

Amount of input GST of shopkeeper SGST = CGST = 6/100(7500 – 7x)

Amount of GST paid by consumer to shopkeeper SGST = CGST = 6% of 7500

= (6/100 × 7500)

= ₹ 450

∴ Amount of output GST of shopkeeper: SGST = CGST = ₹ 450

Tax paid by shopkeeper to State Government = Output SGST- Input SGST

(given) 90 = 450 – 6/100(7500 – 75x)

⇒ 90 = 450 – 450/100(100 – x)

⇒ 450/100(100 – x) = 450 – 90

⇒ 9/2 (100 – x) = 360

⇒ 100 – x = (360 × 2)/9

⇒ x = 100 – 80

= 20

∴ rate of discount = 20%


(ii) ∴ Amount of discount = 20% of 7500

= (20/100 × 7500)

= ₹ 1500

∴ C.P. of article for shopkeeper = ₹(7500 – 1500)

= ₹ 6000

Amount of GST paid by shopkeeper = 12% of ₹ 6000

= (12/100 × 6000)

= ₹ 720

Therefore, the price inclusive of tax (under GST) of the article which the shopkeeper paid to the wholesaler = ₹6000 + ₹720 = ₹6720


5. A retailer buys an article at a discount of 15% on the printed price front a wholesaler. He marks up the price by 10% on the printed price but due to competition in the mark. He allows a discount of 5% on the marked price to a buyer. If the rate of GST is 12%andthe buyer pays Rs. 468.16 for the article inclusive of tax (under GST). Find

Answer

(i) Let the printed price of the article = ₹ x

Discount given by wholesaler = 15% of ₹ x

= 15x/100

∴ C.P. of article for retailer = x – 15x/100

= 85x/100

= ₹ 17x/20

It is given that retailer, marked the price of article = x + 10% of x

= x + (10/100)x

= 11x/10

But discount given by retailer = (5% of 11x/10)

= 5/100 × 11x/10

= 11x/10

But discount given by retailer = (5% of 11x/10)

= 5/100 × 11x/10

= 11x/200

∴ C.P. of article for buyer = 11x/10 – 11x/200

= (220x – 11x)/200

= 209x/200

Given rate of GST = 12%

Thus, GST paid by buyer for an article = 12% of 209x/200

= 12/100 × 209x/200

∴ Buyer pays for the article inclusive of tax = 209x/200 + 12/100 × 209x/200

= 209x/200 × 112/100

Also given buyer pays for article inclusive of tax = ₹ 468.16

∴ 209x/200 ×112/100

= 468.16

∴ 209x/200 × 112/100 = 468.16

⇒ x = (46816 × 100 × 200)/(100 × 112 × 209) = 400

Hence, the printed price of article = ₹ 400


(ii) C.P. of article for retailer = ₹ (17/20 × 400)

= ₹ 340

S.P. of article for retailer = C.P. of article for buyer = 209/200 × 400

= ₹ 418

∴ Profit of retailer = S.P. - C.P. = ₹(418 – 340)

= ₹ 78

And profit % = profit/C.P. × 100

= 78/340 × 100

= 390/17

= 22.(16/17)%


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