DR.
SHYAMA PRASAD MUKHERJEE UNIVERSITY, RANCHI
University Department of Commerce
B.Com. Semester - IV
MODEL QUESTION PAPER
Subject: - Indirect Tax and GST Paper: - C8
SECTION – A
MULTIPLE CHOICE QUESTIONS
Q1) What is rate of tax of IGST?
(a) CGST rate
(b) SGST rate
(c) CGST + SGST rate
(d) VAT rate
Q2) In GST, both Central and State Governments should have simultaneous power to levy GST on:
(a) Intra - State Supplies Only
(b) Inter - State Supply Only
(c) Import
(d) Both Intra- State and Inter-State Supply
Q3) Chairperson of GST Council is
(a) Prime Minister
(b) Union Finance Minister
(c) President of NITI AYOG
(d) Chief Commissioner of Indirect Taxes
Q4) GST rate is applicable on Gold and Silver Ornaments:
(a) 0.25% (b) 1% (c) 2% (d) 3%
Q5) GST was imposed in India on:
(a) 1st April, 2016
(b) 1st April, 2017
(c) 30th June, 2017
(d) 1st July, 2017
Q6) ‘Goods’ means every kind of………………….. property other than money and securities but includes
actionable claim, growing crops, grass and things attached to or forming part of the land which are
agreed to be severed before supply or under a contract of supply.
(a) Movable
(b) Immovable
(c) Movable or immovable
(d) Movable and immovable
Q7) Which one of the following shall not be treated as supply?
(a) Rental
(b) Lease
(c) Actionable claim
(d) License
Q8) What will be a Taxable Event in GST?
(a) Manufacture
(b) Taxable Supply of Goods and Services
(c) Both (a) and (b)
(d) None of these
Q9) In ‘composite supply’ the following shall be treated as the:
(a) Supply with highest rate of tax
(b) Supply which attracts reverse charge
(c) Supply which is the principal supply
(d) Supply of item which can be separately sold
Q10) In ‘Mixed supply’ the following shall be treated as the :
(a) Supply with highest rate of tax
(b) Supply which attracts reverse charge
(c) Supply which is the principal supply
(d) Supply of item which can be separately sold
Q11) Import / Export is treated as………………….. in GST:
(a) Intra-state supply
(b) Inter-state supply
(c) Non-taxable supply
(d) Exempted supply
Q12) The Tax Liability of a person receiving the goods instead of the person supplying the goods will be
known as:
(a) Purchase Tax
(b) Reverse Tax
(c) Reverse Charge
(d) None of these
Q13) Place of supply where the goods are assembled or installed:
(a) Place of supplier
(b) Place of recipient
(c) Place of transporter
(d) Place of the assembly or installation
Q14) Nature of a particular transaction i.e, intra state or inter-state is determined based on the:
(a) Location of the supplier & place of supply
(b) Location of the supplier alone
(c) Location of the recipient of goods /services
(d) None of the above
Q15) Place of supply of goods which involves the movement:
(a) Location of the supplier of goods
(b) Location of the recipient of goods
(c) Place where the movement of goods terminates
(d) None of the above
Q16) The value of supply of goods and services shall be the:
(a) Market Value
(b) MRP
(c) Transaction value
(d) None of above
Q17) Zero Rated supply includes:
(a) Export of goods/services
(b) Supply of goods/services to SEZ developer unit
(c) Supply of goods/services by SEZ developer unit
(d) Both (a) and (b)
Q18) Credit on inputs should be availed at the time of:
(a) Receipt of goods
(b) Receipt of Documents
(c) Either receipt of documents or Receipt of goods
(d) Receipt of both of documents and goods
Q19) What is the time limit to pay the value of supply along with taxes to avail the input Tax credit?
(a) Three months
(b) Six months
(c) Till the date of filing of Annual Return
(d) One hundred and eighty days
Q20) Input tax credit is not available on :
(a) Goods used for personal use
(b) Trading goods
(c) Capital goods
(d) Raw Material
Q21) The conditions for claiming ITC doesn’t include the following:
(a) He is in possession of tax invoice
(b) He has received the goods/services
(c) The tax charged has been actually paid to the Government
(d) He must have inter-state supply
Q22) Which one of statements are not correct?
(a) A person may not get himself registered voluntarily.
(b) A person may get himself registered voluntarily.
(c) Voluntarily registered person are liable to comply with all the provisions of the GST.
(d) None of the above is correct.
Q23) Within how many days person should apply for fresh registration?
(a) Within 30 days from the date he becomes liable for registration.
(b) Within 60 days from the date he becomes liable for registration.
(c) Within 90 days from the date he becomes liable for registration.
(d) Within 120 days from the date he becomes liable for registration.
Q24) Suppose, a dealer who is a resident of Kerala has business places both at Tamil Nadu and Kerala.
From where he has to take GST Registration?
(a) From Kerala Only
(b) From Tamil Nadu Only
(c) He has to take separate GST Registration both at Tamil Nadu and Kerala with the same PAN Number
(d) From either of the states.
Q25) What is the validity of the registration certificate?
(a) Two Year
(b) Eight Year
(c) One Year
(d) Till it is cancelled
Q26) Annual return is optional for tax payers having turnover up to :
(a) 10 crores
(b) 20 crores
(c) 5 crores
(d) 2 crores
Q27) The time limit for filing annual return GST will be:
(a) On or before 30th September of the succeeding financial year
(b) On or before 31st October of the succeeding financial year
(c) On or before 31st December of the succeeding financial year
(d) On or before 31st January of the succeeding financial year
Q28) Which of these registers/ledgers are maintained online?
(a) Tax Liability Register
(b) Credit Ledger
(c) Cash Ledger
(d) All of them
Q29) Payment made through challan will be credited to which registers/ledgers?
(a) Electronic Tax Liability Register
(b) Electronic Credit Ledger
(c) Electronic Cash Ledger
(d) All of them
Q30) Balance in Electronic Credit Ledger can be utilized against which liability?
(a) Output tax payable
(b) Interest
(c) Penalty
(d) All of them
Q31) The electronic cash ledger shall be maintained in Form:
(a) GST PMT-02
(b) GST PMT-04
(c) GST PMT-05
(d) GST PMT-06
Q32) The electronic credit ledger shall be maintained in Form:
(a) GST PMT-02
(b) GST PMT-04
(c) GST PMT-05
(d) GST PMT-06
Q33) Input tax credit on account of CGST available in the electronic credit ledger shall be utilized for tax
payment:
(a) For CGST only
(b) First for CGST and then for IGST
(c) First for CGST then for IGST and balance for SGST/UTGST
(d) None of the above
Q34) Deposit of money will be credited to:
(a) Electronic cash ledger
(b) Electronic credit ledger
(c) Electronic liability register
(d) None of the above
Q35) Input tax credit on account of SGST available in the electronic credit ledger shall be utilized for tax
payment:
(a) For SGST only
(b) First for SGST and then for IGST
(c) First for SGST then for IGST and balance for IGST
(d) None of the above
SECTION – B
SHORT ANSWER QUESTIONS
Q1) Explain in brief the various types of Return under GST.
Q2) Who is eligible for taking Input Tax Credit as per Section 16 of CGST Act, 2017?
Q3) What is the meaning of supply? Give the brief note on the scope of supply.
Q4) Explain the various types of GST.
Q5) Who is liable to take registration under GST on the basis on threshold limit as per Section 22 of
CGST Act, 2017?
Q6) What are the activities to be treated as supply, made without consideration as per schedule I of
CGST Act, 2017?
Q7) What is a Mixed Supply under GST Act?
Q8) Define the term ‘Goods’ and ‘Services’ as per GST Act.
Q9) Who is liable to take compulsory registration under section 24 of CGST Act, 2017?
Q10) What is a Composite Supply under GST Act?
SECTION – C
LONG ANSWER QUESTIONS
Q1) What is the meaning of Input Tax Credit? What are the four conditions for taking Input Tax
Credit as per Section 16 of CGST Act, 2017?
Q2) Discuss the concept of Goods and Services Tax. Point out the reasons for adoption of GST in
India and discuss its merits and demerits.
Q3) Explain the provision of Electronic Cash Ledger, Electronic Credit Ledger and Electronic
Liability Register.
Q4) What do you mean by Indirect Tax? Explain its merits and demerits. How does it differ from
Direct Tax?
Q5) What are the activities to be treated as supply of goods or supply of services as per schedule II of
CGST Act, 2017?
Q6) What do you meant by Return? Discuss the need and purpose of filing Return under GST.
Q7) What is the place of supply of goods in the following cases:
(i) Supply involves movement of goods.
(ii) Supply involving movement of goods delivered to recipient on the instruction of third
person.
(iii) Supply does not involve movement of goods.
(iv) Goods assembled or installed at site.
(v) Goods supplied on board
(vi) Residual.
Q8) What is the time of supply in case of supply of goods and services under forward charge and
reverse charge?
Q9) Write short notes on:
(i) Non – Resident Taxable Person
(ii) Casual Taxable Person
(iii) Regular Tax Payer
(iv) Unique Identification Number
(v) Aggregate Turnover
Q10) Following are the particulars for various services provided by the Femina Beauty Point for the
month of November 2018:
₹
1. Supply of cosmetics 5,73,600
2. Hair dyeing 4,72,800
3. Hair cutting 35,200
4. Cosmetic surgery 1,08,300
5. Nail Art 52,400
6. Beauty treatment charges 73,200
7. Bridal Makeup 2,78,500
8. Makeup charges 82,100
9. Rebonding 85,800
10. Global colour 3,76,200
Determine the taxable value of goods/services supplied.
[Hint: Total Value of Taxable Supply – ₹ 21,38,100]
Q11) Following are the particulars of the Professional Receipts of a Chartered Accountant
for the quarter ending 31st December, 2018 :
1. Internal Auditor Fees ₹ 2,00,000.
2. Statutory Audit Fees Received ₹ 1,55,000.
3. Tax consultancy fees ₹ 1,50,000.
4. Representation under income tax appeals on behalf of clients ₹ 2,00,000.
5. Remuneration for auditing services provided to trading firms ₹ 3,00,000.
6. Honorarium received from Visiting Faculty Services at a professional coaching institute
₹ 2,58,000.
7. Charged Travelling allowance outstation auditing ₹ 3,00,000.
Calculate the taxable value of services and compute the amount of GST payable by him. All
receipts are exclusive of GST which is applicable @ 18%.
[Hint: Total Value of Taxable Services– ₹ 15,63,000]
GST Payable – ₹ 2,81,340
Q12) Following are the particulars of various supply of services of a Real Estate Agent:
1. Commission for sale / purchase of property - ₹ 8,44,720
2. Offices marketing commissions - ₹ 7,32,100
3. Charges for Construction supervision - ₹ 2,77,520
4. Real Estate Consultancy Charges - ₹ 4,33,550
5. Commission for Letting services - ₹ 2,72,650
6. Commission for Renting services - ₹ 5,84,230
Calculate the value of taxable services provided.
[Hint: Taxable Value – ₹ 31,44,770]
Q13) From the following particulars, calculate invoice value under GST:
Purchase of raw materials within the State ₹ 67,200 (inclusive of GST of 12%)
Excise duty @ 12%,
VAT 12.5%
Profit margin ₹ 9,500
Manufacturing expenses ₹ 3,500
Wages ₹ 5,000
Storage cost ₹ 6,000
Consultation fees ₹ 2,500
CGST @ 6% and SGST @ 6%.
[Hint: Invoice Value – ₹ 96,880]
Q14) Mr. Alok Saxena is an architect and civil engineer, rendering services to various clients.
For the quarter ending on 30th September, 2020, he received the following remuneration from
the clients:
1. Valuation fees ₹ 1,75,000 for completed buildings, done for loan and taxation purpose.
2. Remuneration for making drawing (maps) of buildings ₹ 4,48,000.
3. An amount of ₹ 1,42,000 was deposited with Municipal Corporation for getting approval of
the drawings, which later recovered from clients.
4. He also charged construction consultancy and supervision fee of ₹ 2,40,000 from a client.
Mr. Alok Saxena has to incurred ₹ 15,000 per month to get the services of accountant, telephones
and vehicles, etc. for the smooth functioning of his office work.
Mr. Alok Saxena is a registered assessee under GST laws. Calculate the GST amount
payable by him.
He is liable to pay GST @ 18% on the Taxable Value.
[Hint: Value of Taxable Services– ₹ 8,63,000]
Q15) Vijay Limited situated in Bhopal has presented the following information:
Purchased raw material within the State for ₹ 2,80,000
Consultation fees ₹ 35,000
Storage cost ₹ 32,000
Transportation cost ₹ 28,000
Labour cost ₹ 87,500
Goods sold for ₹ 5,20,500. Calculate Net GST payable.
[Assume CGST is 5% and SGST is 5%)
[Hint: Net GST Payable: CGST – ₹ 2,900, SGST - ₹ 2,900]
