GST Accounting Entries for Sales and Purchases

In this topic you can learn how to post GST accounting entries for sales and purchase transactions with an example.

 

 

Example for Local Purchases

 

ABC company has purchased 4 qty of HP laptops from local X company each @ Rs.25,000 with GST of 18%.

 

GST Local Inward Supplies (Within state)

 

HP Laptops A/c Dr     1,00,000

 

SGST A/c Dr                  9,000

 

CGST A/c Dr                 9,000

 

To X Company A/c     1,18,000

 

 

 

Example for Local Sales

 

ABC company has sold 4 qty of HP laptops to local Y company each @ Rs.30,000 with GST of 18%.

 

GST Local Outward Supplies (Within state)

 

Y Company A/c Dr    1,41,600

 

To HP Laptops A/c    1,20,000

 

To SGST A/c               10,800

 

To CGST A/c              10,800

 

 

 

Example for Inter-State Purchases

 

ABC company (Hyderabad) has purchased 4 qty of HP laptops from XYZ company (Bangalore) each @ Rs.25,000 with GST of 18%.

 

 

GST Inter-State Inward Supplies Entry

 

HP Laptops A/c Dr     1,00,000

 

IGST A/c Dr                 18,000

 

To XYZ Company A/c  1,18,000

 

 

 

Example for Inter-State Sales

 

ABC company (Hyderabad) has sold 4 qty of HP laptops to Balu Tranders (Bangalore) each @ Rs.30,000 with GST of 18%.

 

 

GST Inter-State Outward Supplies Entry

 

Balu Traders A/c Dr   1,41,600

 

To HP Laptops A/c    1,20,000

 

To IGST A/c               21,600