Free tool
PTR / PTS calculator — from MRP, after GST
Enter the MRP, pick the GST rate, set the margins — the calculator strips the tax, then works PTR (price to retailer) and PTS (price to stockist) with every formula shown. Margins default to trade convention (20% / 10%) and are yours to change, because they are commercial terms, not rules.
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20% is the common non-scheduled convention — a commercial term, not a rule. Slide to your agreed margin.
10% is the common convention for the stockist tier — again a commercial term. Set your own.
Net value (ex-GST)
₹89.29
MRP ÷ (1 + 12%)
PTR — price to retailer
₹71.43
Net × (1 − 20%)
PTS — price to stockist
₹64.29
PTR × (1 − 10%)
Convention-based illustration, not a price list: margins here are trade convention unless your agreement says otherwise, and DPCO-scheduled drugs carry regulated margins that override convention — check the current DPCO notifications for scheduled products. GST shown is the rate you select; verify your product's actual rate. Not tax advice.
What the numbers mean
PTR and PTS define the list-price ladder of the pharma and FMCG channel — but the list price is only where channel economics begin. A stockist's real margin adds scheme income (QPS, target incentives, TOD) and subtracts the cost of claims stuck in settlement; the structure is unpacked in price types by industry and what a distributor actually earns after rebates. For scheduled drugs under the DPCO, regulated margins override every convention on this page — check the current notifications for scheduled products.
Frequently asked questions
How are PTR and PTS calculated from MRP?
Three steps: strip GST from the MRP to get the net value (Net = MRP ÷ (1 + GST%)); apply the retailer margin to get PTR (PTR = Net × (1 − retailer margin%)); apply the stockist margin to get PTS (PTS = PTR × (1 − stockist margin%)). On an MRP of ₹100 at 12% GST with 20%/10% margins: Net ≈ ₹89.29, PTR ≈ ₹71.43, PTS ≈ ₹64.29.
Are the 20% retailer and 10% stockist margins fixed by law?
No — they are industry convention, commercial terms that vary by company, category and agreement. The exception is DPCO-scheduled drugs, where margins are regulated; for scheduled products, check the current DPCO notifications rather than any convention, including the defaults in this calculator.
Why is GST removed before applying margins?
Because MRP is tax-inclusive and trade margins are conventionally computed on the ex-GST value — the tax belongs to the government, not to any tier’s margin. Computing margins on the tax-inclusive MRP silently inflates every tier’s apparent margin by the GST rate.
Is PTS what the stockist actually earns?
PTS is the price the stockist pays — their margin is the gap between PTS and PTR, and their real economics add scheme income and subtract operating costs and the working-capital cost of claims outstanding. The margin structure beyond the list price is covered in our distributor margin and ROI articles.
Does this calculator store or send my numbers?
No. The arithmetic runs entirely in your browser — nothing is submitted, stored or tracked. It is an illustration tool, not pricing advice; confirm your actual price structure against your agreements and, for tax questions, with your CA.
The margin after the list price is the one that matters
ClaimDS settles the scheme income and claims that sit between PTR/PTS and a distributor's real margin — see it on your own agreements.