Chapter 2 - Charge of Tax & Application of CGST & IGST Laws & Concept of Supply - NOV - 19 - 1565841623838
Chapter 2 - Charge of Tax & Application of CGST & IGST Laws & Concept of Supply - NOV - 19 - 1565841623838
try to solve it 5. What is the status of ‘money and securities’ under 9. Activity of ‘conversion of money/ foreign exchange’
GST law by Bank/ Authorized Dealer to a business entity on
Definitions a. Treated as ‘Goods’ interest
1. An exempt supply includes b. Treated as ‘Services’ a. Treated as ‘Supply of Goods’
a. Supply of goods or services or both which attracts Nil c. Treated neither as ‘Goods’ nor as ‘Services’ b. Treated as ‘Supply of Services’
rate of tax d. Status is not clear c. Treated as ‘Supply of Services’ and attracts GST
b. Non-taxable supply Ans:- payment is made to end user
c. Supply of goods or services or both which are wholly 6. What is the status of ‘lottery as an actionable d. Treated as ‘Supply of Services’ and attracts GST
exempt from tax under Section 11 of the CGST Act or claim’ under GST law? payment when made to another Bank/ Authorized
under Section 6 of IGST Act a. Treated as ‘Goods’ Dealer
d. All of the above b. Treated as ‘Services’ Ans:-
Ans:- c. Treated as ‘goods’ but out of scope of supply 10. Which of the following activities will be considered
2. As per Section 2(47) of CGST Act, 2017, exempt d.Treated as ‘goods’ and remains as a supply of service
supply includes the supply of following type of within scope of supply a. Mr A borrows an amount of ` 1, 50,000 from one of
goods and services: Ans:- his relative Mr Q and agrees to repay the entire amount
a. Supply attracting nil rate of tax 7. "Services" means anything other than goods, with interest after a year.
b. Supplies wholly exempt from tax, by way of a money and securities includes ? b. M/s Raj enterprises applied for loan from SBI Bank
notification; a. Activities relating to the use of money or its against which a processing fees and interest is charged
c. Non-taxable supply conversion by cash by the bank
d. All of the above. b. Immovable property c. Mr H exchanged INR against purchase of US $ for
Ans:- . c. Securities which a commission was charged
3. Goods under CGST Act excludes: d. Actionable claims d. All of the above.
a. Securities Ans:- Ans:-
b. Unsecured debts 8. Activity of ‘supply of money’ by Bank to a business 11. which of the following is not a business activity
c. Right to participate in the draw to be held in a entity on interest - a. Ms. Pooja sold her old jeweller
lottery a. Treated as ‘Supply of Goods’ b. Mr. rajesh sold his business car
d. Growing crops. b. Treated as ‘Supply of Services’ c. (a) or (b)
Ans:- c. Treated as ‘Supply of Services’ to the extent it is d. None of the above
4. The term ‘goods’, as defined under section 2(52) of relating to use of money Ans:-
the CGST Act, 2017, does not include- d. None of the above
a. Grass Ans:-
b. Money and securities
c. Actionable claims
d. Growing crops
Ans:-
www.vsmartacademy.com V’Smart Academy 35
CA VISHAL BHATTAD 09850850800 CA Final GST Questioner - 1
LEVY OF GST - SEC 9(CGST) & SEC 5 (IGST) 16. Recipient of supply of goods means a person residence in India is known as :
12. What is the taxable event under GST? a . Who is liable to pay consideration a. Non–resident taxable person
a. Manufacturing of goods b. To whom the goods are delivered or made available, b. Composition dealer
b. Sales of goods or to whom possession or use of the goods is given or c. Registered person
c. Provision of Services made available d. Casual taxable person
d. Supply c. An agent acting as such on behalf of the recipient in Ans:-
Ans:- relation to goods supplied 20. Amit of Delhi is participating in Ayush Furniture
13. What are different types of supply covered under d. All of the above Expo in Haryana where he has no fixed place of
scope of supply Ans:- business and exhibiting his products. During the
a. Supplies made with consideration 17. Recipient for supply of services where no expo, the said products will be sold to the people
b. Supplies made without consideration consideration is payable means a person attending and intending to purchase such products
c. Both of the above a . Who is liable to pay consideration including foreign buyer. In such scenario, Amit shall
d. None of the above b. To whom services is rendered, & any reference to a obtain which of the following registration under
Ans:- person to whom a supply is made shall be construed the CGST Act, 2017:
14. Output tax in relation to a taxable person under the as a reference to the recipient of the supply a. Non–resident taxable person registration
CGST Act, 2017 includes: c. An agent acting as such on behalf of the recipient in b. Casual taxable person registration
a. Tax chargeable on taxable supplies made by him relation to service supplied c. Regular taxpayer registration
b. Tax chargeable on taxable supplies made by his d. Both b & c above d. No registration under GST required.
agent Ans:- Ans:-
c. Tax payable by him under reverse charge 18. The term ‘casual taxable person’ includes:
d. Both (a) and (b) above a. A person occasionally supplying goods or services or
Establishment in different state
Ans:- both in a State or a Union territory where he has no
fixed place of business. 21. ‘P’ Ltd. has its registered office under the
PERSON, SUPPLIER & RECIPIENT Companies Act, 2013 in the State of Maharashtra. It
b. A person occasionally supplying goods or services or
15. Supplier within the meaning of supply includes both in a State or a Union territory where he has fixed also has a corporate office in the State of
a .Person supplying goods or services place of business. Telangana. What will be the place of business of ‘P’
b. Person receiving goods or services c. Both (a) and (b) Ltd. under the CGST Act, 2017?
c. Person supplying goods or services including their d. None of the above [Hint: Refer section 25(5) of CGST Act]
agents Ans:- a. Telangana
d. Both a & c above b. Maharashtra
Ans:- 19. A person who occasionally undertakes transactions c. Both (a) and (b) above
involving supply of goods or services or both, d. None of the above
whether as principal or agent or in any other Ans:
capacity, but who has no fixed place of business or
body of persons to a member thereof for cash, documents have to be filed by that Business d. None of the above
is ............. a. 35 separate applications in GST REG-01 14. Mr. Z has an agency of wholesale trading of a
a. Supply of goods b. Only one registration application incorporating the particular brand in Gas Stoves for Rajasthan and
b. Neither as a supply of goods nor a supply of services entire business verticals in one go Gujarat and has separate proprietorship firms in
c. Supply of services c. Either of the above at the option of the Business each of the two States. In Gujarat, Mr. Z
d/ Either as a supply of goods or as a supply of services Group additionally trades in shoes from the same firm.
Ans:- d. Either of the above at the discretion of the Proper In the context of the above information, which of
10. Out of the IGST paid to the Central Government in Officer the following statement is correct?
respect of import of goods or service, if the Ans:- a. Mr. Z can operate with single registration for Gas
registered taxable person does not avail the said 13. There is a difference in taxability of goods forming Stoves business for Rajasthan and Gujarat. For Shoes
credit within the specified period, what is the part of composite supply and mixed supply. Here business, he has to compulsorily take separate
treatment? are few examples from which you need to identify registration since it is different business vertical.
a. refund it back to the taxable person which is correct example of composite supply and b. Mr. Z will have to get separate registration for each
b. Can be claimed after the expiry of the specified mixed supply. of the States i.e., Rajasthan and Gujarat for Gas stove
period i) Mr. A buys a car and purchases warranty and Business. For shoes business, he has an option to
maintenance of the car by paying nominal amount. register separate business verticals independently.
15 d
RTP of CMA Dec. 18
4. Choose the correct answer with justification/ 16 c
workings wherever applicable:
17 a
(i) Goods under CGST Act excludes:
(a) Securities