Will cess be calculated on the gross value of supply or on the value inclusive of normal tax? Eg: If an item costs Rs.100 and the GST rate on such item is 28% and rate of cess is 10%, will cess be calculated on Rs.128 (100 + 100*28%) or on Rs.100?
Akash ( ) (375 Points)
23 May 2017Will cess be calculated on the gross value of supply or on the value inclusive of normal tax? Eg: If an item costs Rs.100 and the GST rate on such item is 28% and rate of cess is 10%, will cess be calculated on Rs.128 (100 + 100*28%) or on Rs.100?
Dhirajlal Rambhia
(SEO Sai Gr. Hosp.)
(160327 Points)
Replied 23 May 2017
Cess will be calculated on just Rs. 100/- Thus net rate will be 38%.
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