Q.Journalise: 'Purchased goods worth ₹1,00,000 from a supplier in another state, paying IGST @ 18%, amount paid immediately by cheque.'

An inter-state purchase uses a single IGST rather than the CGST+SGST split, and the immediate cheque payment means no creditor account is involved. …

Step 1 — Compute IGST. Since the supplier is in another state, a single Integrated GST (IGST) applies, not CGST+SGST. IGST @ 18% of ₹1,00,000 = ₹18,000.

Step 2 — Compute total amount paid. ₹1,00,000 (goods) + ₹18,000 (IGST) = ₹1,18,000.

Step 3 — Journalise. Since payment is made immediately by cheque, there is no creditor — Bank is credited directly:

Recognise that an inter-state transaction uses a single IGST rate (not split CGST/SGST); compute the tax on the goods value, add it to get the total outflow, and cre …

Splitting the tax into CGST and SGST for an inter-state (different-state) transaction — that split applies only within the same state; across st …