Discount 10 percent then GST, which first

Diwali week 2023, my cousin shop on Station Road, Sikar.

A boy came for a phone tagged 9,999.

I told him Diwali discount 10 percent.

He did maths on phone. 999 rupee off. He said I pay 9,000.

I said wait. GST.

He said GST already in 9,999, you shops always say that.

Sometimes MRP include. This tag was my selling rate before tax, I had written messy.

We started fighting politely.

His version, 10 percent off on 9,999, then no extra GST, he pay 8,999.

My version, 10 percent off on 9,999 is 8,999 taxable, then 18 percent GST on 8,999.

His friend said, GST first then discount, so discount also cut the tax more.

Three versions. One phone. Line of people behind him.

Discount 10 percent then GST, what actually happened

I put the phone down. I opened discount on invoice on BillOnDesk.

I typed rate 9999. Discount 10 percent. Then GST 18.

The preview showed discount first on the price, then tax on the amount after discount.

Taxable became 8,999. Tax some 1,620. Grand around 10,619. I am writing from memory of the argument, the page showed exact.

Boy said this is more than 9,999. How is discount increasing money.

I explained, 9,999 was without GST on my rough tag. I should not have written 9,999 on a sticker like MRP.

My mistake in display. Not his.

I should have shown two numbers. Rate. Then GST. Then discount rule.

He was not wrong to be angry. Shop tags in Sikar are a jungle.

I called my CA on speaker, bad idea in a crowd, CA said generally discount before GST, tax on net.

He said don't take CA class in the gali. He said follow what you file.

I told the boy, I will sell like this, discount then GST, and I will write it on paper so you can show family.

If you don't want, no problem, phone stay.

He called his father. Father said okay if paper show discount line.

I printed from the discount page, then I also made a GST invoice draft with the same net.

Two checks. Same grand.

He paid. He took. Crowd learned something, or they learned to argue more. I don't know.

August 2025 I still use the same order. Discount first. Then GST on what is left.

I don't do GST on 9,999 and then 10 percent on the total with tax, unless some MRP scheme CA explain.

If I discount the tax itself, CA get a voice.

Which first.

If you give 10 percent off on the goods value, cut the goods value, then GST on that.

If you give a flat 500 off, cut 500 from taxable, then GST.

Don't cut 500 from the GST line like a magic.

A Udaipur customer wanted 10 percent after GST because Amazon show a final number.

Amazon is Amazon. My shop is Station Road.

I show him the draft. He can leave.

Some leave. Some stay.

Don't hide discount. Write it. If you only change rate from 9999 to 8999 with no discount line, later they say you never gave 10 percent, you just had high rate.

Discount line is proof of Diwali.

Don't write 10 percent and also a extra 500 because his uncle is with him. Then you don't know what you did.

How I check discount then GST

One extra off, write extra off.

Don't put 10 percent on labour and 0 on phone if you didn't mean that. Line wise discount if needed.

I am not teaching a trick to reduce GST by fake discount.

Fake 90 percent discount and cash outside is fraud. I don't do. I don't explain how.

Real 10 percent, write real 10 percent.

BillOnDesk is not GSTN. The discount tool is a calculator paper. File tax on official portal on the real taxable you charge.

If you charge 8999 plus GST, that is what should go in books. Not 9999 with a wink.

The boy from Diwali came in 2024 for a cover. He said, this time no GST fight.

Cover 199. I didn't give 10 percent. He laughed.

I still remember his friend, GST first theory.

That theory make grand smaller sometimes, so customer like it.

Smaller is not same as correct.

I follow CA. I follow discount then tax, on the net goods.

If government rule for some item is different, CA will shout. Until then I don't invent.

How I fill the tool now.

Item name. Rate. Discount percent. GST percent. I look at taxable. I look at tax. I look at grand.

I show customer the preview on my cracked shop phone.

If he say grand is high, I say tag was without tax. I change the board next time.

After that Diwali I wrote on the glass, rates + GST extra, Diwali off on rate.

Paint was crooked. Argument reduced.

In Jaipur my own shop I do same. Kota brother still forget and put off on MRP including everything. Then his total and my advice don't match. He call me. I send the discount on invoice link.

He fill. He see. He stop calling in the middle of arti.

Show discount line. Show GST line. Show grand.

If 10 percent then GST make 10,619 and his pocket is 10,000, he can buy a smaller phone.

August 2025 a girl in my Jaipur shop wanted buy two earphones, 10 percent on both.

I put two lines in discount on invoice. Each 799, 10 percent, then 18.

She wanted 10 percent on the total after GST because it look like a bigger cut.

Bigger cut for her is smaller tax in the bill. That is why I don't do it like a game.

I showed both previews. After-discount tax vs her idea. Numbers different.

She said okay, do the correct one. She is a college student, she understood faster than the Diwali boy.

Flat 500 off is another fight. People think 500 off on the grand with GST.

I take 500 off the goods value, then GST. If two items, I write which item get the 500, or I split. Don't leave a mystery 500 floating.

A man in Kota once asked 10 percent plus extra 200 because it is Diwali. I wrote both on the paper. 10 percent line, then 200 extra off. Then GST. No mystery.

Festival board I write now, off on rate, GST extra.

Don't silently drop GST to make the deal.

Dropping GST on paper and taking cash GST is a story I don't want in Sikar police or in GSTN notice.

I keep it boring. Discount first. Tax second. Pay third.

Diwali lights were still on when he left with the phone.

I ate samosa. I put the print in a file. I wrote in notebook, 8999 + 18.

Notebook and PDF same number. That is the only festival bonus I need.