MRP Change After GST 2.0 Calculator
Relabeling your stock for GST 2.0? Enter your old MRP and the new tax slab. We'll automatically reverse-calculate your base price and generate the exact new MRP you need to print to keep your margins identical.
Revised MRP to Print
₹0
Difference: ₹0
Calculation Breakdown
Extracted Base Price (Margin Preserved) ₹0
Old Tax Amount (18%) ₹0
New Tax Amount (5%) ₹0
Frequently Asked Questions
Everything you need to know about revising MRP after GST rate changes.
What is the MRP Revision Calculator used for?
It helps manufacturers and retailers recalculate the Maximum Retail Price (MRP) of their products when the GST rate changes. It reverse-engineers the base price from the old MRP and applies the new GST rate to produce a revised MRP that preserves the original profit margin exactly.
How do I calculate a new MRP after a GST rate change?
Step 1: Extract base price from old MRP using: Base Price = Old MRP ÷ (1 + Old Rate/100). Step 2: Apply new GST: New MRP = Base Price × (1 + New Rate/100). Example: Old MRP = ₹1,120 at 12% → Base = ₹1,000 → New MRP at 5% = ₹1,050.
Is it mandatory to revise MRP stickers after a GST rate change?
Yes. Under the Legal Metrology (Packaged Commodities) Rules, manufacturers must update MRP labels to reflect the revised GST-inclusive price. Selling products at the old higher MRP after a rate reduction is considered overcharging and can attract penalties from consumer protection authorities.
Can I sell existing stock at the old MRP after a GST rate reduction?
No. Once the new GST rate is effective, even existing stock must be sold at the revised lower MRP. You may paste a new sticker over the old MRP label, but it must clearly display the correct new GST-inclusive price.
What is the reverse GST formula to extract base price from MRP?
Base Price = MRP ÷ (1 + GST Rate/100). Example: If MRP = ₹1,180 at 18% GST, then Base Price = ₹1,180 ÷ 1.18 = ₹1,000. This tool performs this calculation automatically.
What happens to my profit margin after a GST rate change?
If you use this tool to correctly revise MRP, your base margin (price before tax) stays exactly the same. The only thing that changes is the tax component added on top of it. Your rupee profit per unit is fully preserved.
How do I revise MRP for products where old rate was 28% and new rate is 18%?
Enter the old MRP, select 28% as old rate, and 18% as new rate. The tool extracts the base price and applies 18% to show the new MRP. Example: MRP ₹1,280 (28% GST) becomes MRP ₹1,180 (18% GST) — a price reduction of exactly ₹100.
What if the new GST rate is 0% (exempt)?
If the product becomes exempt (0% GST), the new MRP equals the base price since no tax is added. The tool handles this correctly. Just select 0% as the new rate and you will see the MRP drop to the base price itself.
Does this tool work for products with both CGST and SGST?
Yes. The tool calculates on the combined GST rate (CGST + SGST combined). So if your product attracts 9% CGST + 9% SGST = 18% total, select 18% as the old or new rate. The tool uses the total GST percentage for MRP calculation.
Are there penalties for not revising MRP after a GST rate change?
Yes. Selling above the revised MRP after a GST rate reduction can attract penalties under the Legal Metrology Act and the Anti-Profiteering provisions of Section 171 of the CGST Act. Penalties include fines, consumer refund orders, and potential GST registration suspension.