GST inclusive vs exclusive pricing
Inclusive or exclusive? The choice affects how customers perceive price and how you protect margin. Here's how to decide.
"Inclusive" means the price already contains GST; "exclusive" means GST is added at checkout. For online sellers, getting this right keeps your margins intact and your customers unsurprised.
The two approaches
- Inclusive (MRP): the displayed price is what the customer pays. Common in B2C retail and on marketplaces.
- Exclusive: GST is shown and added separately. Common in B2B quotes.
Which should you use?
Most consumer marketplaces expect inclusive pricing — the listed price is final. B2B sellers often quote exclusive so business buyers can see the tax they'll reclaim. If you sell both ways, be explicit about which you're showing.
Protecting your margin
If you set an inclusive MRP, use the Reverse GST Calculator to confirm the base amount you actually keep after GST. Build your costs and margin on the base value, not the inclusive figure.
| Display | ₹1,180 MRP @18% | You keep (base) |
|---|---|---|
| Inclusive | Customer pays ₹1,180 | ₹1,000 |
| Exclusive | ₹1,000 + ₹180 GST | ₹1,000 |
Set prices with confidence
Combine the Reverse GST Calculator with your landed cost from the Import Duty Calculator to price products that actually make money.
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💬 Talk to our team View plans →Frequently asked questions
Do marketplaces use inclusive pricing?
Most consumer marketplaces expect the listed price to be GST-inclusive (final price to the customer).
How do I find my real margin on an MRP?
Use the Reverse GST Calculator to get the base value, then subtract your costs and fees from that base.
Can I show exclusive prices to businesses?
Yes. B2B quotes commonly show price plus GST so buyers can see the recoverable tax.
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