Is gst be counted in the cost of purchase. If not why?

Anas · 8 May 2024

Goods and Services Tax (GST) is generally not included in the cost of purchase because it's a consumption tax paid by the end consumer. Businesses typically claim back the GST they pay on their purchases as input tax credits, so it doesn't become a part of the cost of their inventory. Instead, it's passed on to the final consumer who bears the ultimate burden of the tax.