How do I calculate the amount of sales tax that is included in total receipts?

Asked by Last Modified  

5 Answers

Follow 0
Answer

Please enter your answer

Transforming academic dreams into reality with 100 % success rate.since the past 30 years.

Very simple. For example , if you sell a product for Rs100 and the sales tax on it is 10% , so the totoal billing is Rs110 . So you receive Rs100 as total receipt . Now 9% of the total receipt is your tax amount . So it is always 1% less than the tax amount . Hope it answers your question.
Comments

CA-Inter Cleared (Accounting Technician Executive)

Go for Cross Muliplication
Comments

Sales tax = (amount received * Rate of tax)/(100 + rate of tax). Eg. If total receipt is INR 110 and tax rate is 10% then Sales tax will be 110*10/110= , 10 I. e. Sale value =110-10 =100 And Tax = 10
Comments

Amount (included sales tax) * sales tax rate / 100+ sales tax rate
Comments

Best tutor for Business and Tax

Its very simple, Just apply this formula sales tax=Amount of Receipt*tax rate/(100+tax rate)
Comments

View 3 more Answers

Related Questions

What are the options for a BCOM graduate in Canada?
After finishing your undergraduate or postgraduate studies in Commerce or Management-related subjects in India, you can go on to study in top universities or colleges in Canada. (canada mba)
Vidyarajeev
0 0
8
How can I get good marks without taking tuition in an F.Y.B.Com?
Through proper exam oriented learning approach, Through time management, By following all topics given in your syllabus, By solving some last year exam papers, Internet and social media like YouTube can also help. Wishing you all the best.
Nice
0 0
9
Can you tell me the straight line method to calculate depreciation?
(Purchase price of asset +installation & other exp relating to purchase of asset as per AS-scrap value/no. of years of its economic life of asset. Each year depreciation charged will be equal amount.
Prabhash
0 0
6
How can I upload my profile for teaching opportunities in this website?
Dear Lakshmi, once you go to Urban Pro webpage, you may find an option called Sign UP.. It will prompt you to fill up the details.. Please fill up the required details and Create the account. Later...
Lakshmi
Can I do a B.Com after 12th PCB? Will I be able to understand the topics?
Yes Kratik you can do B.com after 12th. In gradually you will understand.
Kratika
0 0
9

Now ask question in any of the 1000+ Categories, and get Answers from Tutors and Trainers on UrbanPro.com

Ask a Question

Related Lessons

7 R's Of Winning An Enemy
We have seen Two Superpowers: US and USSR competing and combating with each other until 1990s . Now the centre stage has moved to Asia where Superpowers are taking sides with India and China. US, France,...

Types of Demand - Micro Economics, Class 12
Economics - NCERT, ICSE/ISC, State Board, IGCSE/GCSE

Accounting Policies
Definition: Accounting Policies refer to specific accounting principles and applying those principles adopted by the enterprise in the preparation and presentation of Financial Statements. Need for...

Computation of Salary income
Basic Salary (+) DA (+) Bonus (+) Taxable portion of allowances (+) Advance Salary (+) Fees (+) Commission (+) Taxable value of perquisities (+) Wages (+) Profit in lieu of salary (+) Taxable...

IFRS 16 Leases Simplified
Lease Definition Lease is defined as a contract that conveys to the customer (‘lessee’) the right to use an asset for a stipulated period of time in exchange for consideration. Disclosure...

Recommended Articles

While schools provide formal education to the children, the home is where they start learning about things informally. Parents think that schools will take the initiative to educate their children. Well, this is partially true, as parents also play an essential role in bringing up their child. For the development of particular...

Read full article >

With the current trend of the world going digital, electronic renaissance is a new movement that is welcomed by the new generation as it helps makes the lives of millions of people easier and convenient. Along with this rapidly changing movement and gaining popularity of Internet, e-Learning is a new tool that emerging...

Read full article >

Learning for every child starts from a very young age. While the formal methods include school curriculums and private lessons, the informal methods include dancing, music, drawing, and various fun-filling activities. Playing games and practising these types of activities helps the children get out of boredom and...

Read full article >

Quality education does not only help children to get a successful career and life, but it also hugely contributes to society. The formal education of every child starts from school. Although there are numerous schools, parents find it challenging to choose the right one that would fit their child. It is difficult for them...

Read full article >

Looking for BCom Tuition ?

Learn from the Best Tutors on UrbanPro

Are you a Tutor or Training Institute?

Join UrbanPro Today to find students near you