What is this scheme really worth?
Put in the distributor's offer and see the margin you will actually earn, after the free goods and after GST comes out of the MRP. Free to use, nothing is sent anywhere.
How the sum works
Nothing here is a secret, but it is the step most people skip.
MRP already contains the GST
An Indian MRP is the final price to the customer, tax included. So before you compare it with what you paid, you have to strip the tax out: MRP divided by 1 plus the slab. On a ₹180 strip at 5%, only ₹171.43 is yours — the other ₹8.57 belongs to the government.
Free goods lower your real cost
On 10+1 you pay for ten and receive eleven, so your true cost per unit is the PTR times ten elevenths. That is what turns a thin offer into a workable one, and why two offers at the same PTR are not the same offer.
Margin on cost, not on MRP
Distributors often quote margin as a share of MRP, which makes it sound larger. What matters to you is the return on the money you put out, which is margin divided by your cost. Both are shown above so you can see the gap.
The GST is not profit
You collect it on the sale and pay it on the purchase, and the difference goes to the department. It passes through your till, not into it.
This is indicative. It assumes PTR is quoted before GST and MRP includes it, which is the usual practice but not universal. Check an actual invoice before you commit to a large order, and confirm rates with your accountant.
Pharma Remit does this on every purchase
Enter a supplier bill once and the software keeps the batch, the expiry, the free goods and the real landed cost against every strip in your stock — so you always know what you made on a sale.