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Discount and GST calculator

  

The discount comes off first and GST is worked out on the discounted price. In India the printed MRP already includes GST, so choose that option for packaged goods.

The price I have is

2 thousand

%
%

GST rate

You pay

₹1,499

₹500 saved. ₹229 of what you pay is GST at 18%.

Price of the goods85%₹1,271GST15%₹229

Working out the real price during a sale

Sales shout the discount and hide the tax. Here is a simple way to see the real figure: take the discount off first, then work the tax on what is left.

A Bluetooth speaker has an MRP of ₹1,999 and a 25% discount. You pay ₹1,499.25. Since the MRP already includes 18% GST, about ₹228.70 of that is tax and ₹1,270.55 is the price of the speaker. You saved ₹499.75, and part of that saving is tax you do not have to pay.

If your price is before GST, as on many business quotations, the order is the same but GST is added at the end. A ₹1,000 item with 10% off and 18% GST comes to ₹1,062.

Stacked offers confuse people. A 25% store discount followed by a further 10% coupon is not 35% off. It is 1 − 0.75 × 0.90 = 32.5% off, which is why the tool has a second discount box.

Sources

What this calculator does not account for

  • Cess and special rates on some goods.
  • Delivery or handling charges.
  • Coupons that apply only to part of the bill.

How this is calculated

Formula: Price after discount and GST

after discount =price × (1 − d); with GST =after discount × (1 + g)

What the symbols mean

  • dDiscount as a fraction. 25% is 0.25.
  • gGST rate as a fraction. 18% is 0.18.

Good to know

  • If the price you have is the MRP, GST is already inside, so the GST part is final × g ÷ (100 + g).
  • For GST alone, use the GST calculator.

Read the full methodologyFound an error? Contact us

Worked examples

Each example is worked out by the same code as the calculator above.

MRP ₹1,999, 25% off, 18% GST included

You pay ₹1,499.25. GST inside is ₹228.70 and you save ₹499.75.

₹1,000 before GST, 10% off, 18% GST added

₹900 after the discount, then ₹162 GST, so ₹1,062.

Embed this calculator

The frame shows the tool only.

<iframe src="/embed/discount-with-gst-calculator" title="Discount with GST" width="100%" height="720" style="border:0;max-width:42rem" loading="lazy"></iframe>

Questions

Is GST charged before or after the discount?

On the discounted price, when the discount is shown on the invoice. That is why a discount cuts the tax as well.

Is the MRP inclusive of GST?

Yes, for packaged goods the MRP is the maximum price including all taxes.

What are the GST rates?

Since 22 September 2025 the main rates are 5% and 18%, with 40% on a few luxury and sin goods and nil on many essentials. Older bills may show 12% or 28%. The rate is printed on the invoice.

What if I get two discounts?

They multiply, they do not add. 25% then 10% off is 32.5% off, not 35%.