Sheet I: Working Sheet (will help you break down the details of one item at a time)Step 1: Select the appropriate rate of excise duty applicable on the product. If 'other' is selected, then manually enter the applicable rate in cell J12.
Step 2: Tick on the box if excise duty is applicable on abated value on goods procured. If abatement is applicable, manually enter the rate of abatement in cell J10.
Step 3: Select the nature of procurement, i.e. if it is being procured from a different state/inter-State (CST) or within the same state intra-State (VAT), by choosing the buttons present in row 19-20.
Step 4: If nature of procurement is selected as CST, then manually enter the rate of CST applicable on the product in cell J9. If purchases are against Form C - rate of CST should be 2%.
Step 5: Select the rate of VAT applicable on sale of products from the drop down list in cell J8 (alternatively, it can be inserted manually). Even if sale is made on inter-State basis, CST rate will be aligned to VAT rate, since the sale is made to end-customer.
Step 6: If nature of purchases is VAT, then the VAT rate inserted as per Instruction 5 (for sale of goods) will be the considered as the default purchase rate.
Step 7: Select the manner of computation of margin (ie, whether on cost price, sale price or MRP) in cell H21 to I21.
Step 8: Manually insert the existing percentage of margin in cell J11.
Step 9: Select the rate of GST applicable on supply of goods from drop down list (alternatively, it can be manually inserted).
With all these steps in place, you will be able to see the net summary of the VAT/CST to GST shift in yellow in rows 25-30. You can then consider re-adjusting the price in cell J7 to see the impact that reducing/increasing the price will have on your margins.
Sheet II: Bulk Working Sheet (will help you compute the prices of multiple items in a convenient format)This sheet works in a similar way as the previous one, and you are only required to enter the ‘Product Details’ and the fields marked in yellow:
Product details (price)
VAT
Margin( % of cost)
Deemed Credit
GST Rate %
Excise Duty (if any)
Excise Duty abatement (if any)
After entering the details in the relevant fields, your net margin across all products can be calculated.
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