When IGST applies
- The supplier’s location and the place of supply are in different States/UTs.
- Imports of goods or services into India.
- Supplies to or by a Special Economic Zone (SEZ) unit or developer.
- Exports (often zero-rated, under LUT or with IGST refund).
The place of supply rules (Sections 10–13 of the IGST Act) decide this — for example, for many B2B services it is the recipient’s location; for goods it is generally where movement ends. That is why this calculator lets you choose the supply type rather than guessing it from an address.
Formula
IGST = Taxable value × GST rate ÷ 100
Example: goods worth ₹60,000 dispatched from Pune to Ahmedabad at 18%: IGST ₹10,800; invoice total ₹70,800. The same sale within Maharashtra would be CGST ₹5,400 + SGST ₹5,400 — the total tax is identical.
FAQs
Is IGST more than CGST + SGST?
No. IGST equals CGST + SGST at the same total rate. Only who collects it differs.
What if I wrongly charged CGST+SGST instead of IGST?
The correct tax has to be paid under the right head and the wrongly paid amount claimed as a refund (Section 77 CGST Act / Section 19 IGST Act). Consult a tax professional for your case.