commerce guru cma intermediate INdirect tax

STUDY NOTE – 1
BASICS OF GST
MULTIPLE CHOICE QUESTIONS:
Question 1. Which of the following (D) Sale of jewellery
countries was the first to introduce Answer: (D) Sale of jewellery
GST? Question 8. Which of the following
(A) the United States represents composite supply?
(B) Britain (A) Doctor’s service with medicines
(C) Canada (B) Package with fruits and chocolates
(D) France (C) Coaching centre with monthly
Answer: (D) France excursions on trekking
Question 2. All decisions of the GST (D) Supply of computer printer and
Council must have a majority in order laptop
to implement the same. Answer: (A) Doctor’s service with
(A) One-half (B) Three-fourth medicines
(C) 60% (D) 90% Question 9. In the case of a
Answer: (B) Three-fourth manufacturer who opts for
Question 3. Which law will govern the composition scheme the rate of GST
inter-State supply of goods or (including CGST and SGST) is:
services? (A) 1% CGST + 1% SGST = 2%
(A) CGST (B) SGST (B) 0.5% CGST + 0.5% SGST = 1%
(C) UTGST (D) IGST (C) 2% CGST + 2% SGST = 4%
Answer: (D) IGST (D) 0.25% CGST + 0.25% SGST =
Question 4. Which of the following has 0.5%
been kept out of the GST Levy? Answer: (B) 0.5% CGST + 0.5%
(A) Generator (B) Computer SGST = 1%
(C) Jewelery (D) Electricity Question 10. Who among the
Answer: (D) Electricity following is eligible for availing
Question 5. Abhijit Sen is engaged in composition scheme under GST?
running a textile showroom at (A) Supply through e-commerce
Gangtok (Sikkim). In order to avail operators
composition scheme under GST law, (B) Service supply like Company
his “aggregate turn-over” in the Secretary
preceding financial year should not (C) Goods not taxable under CGST/
have exceeded: SGST/UTGST/IGST
(A) ₹ 50 lakh (B) ₹ 40 lakh (D) Restaurants
(C) ₹ 75 lakh (D) ₹ 150 lakh Answer: (D) Restaurants
Answer: (C) ₹ 75 lakh Question 11. Which of the following
Question 6. When employer gifts GST model is adopted in India?
goods to his employees, it will not be (A) Australian model
considered as a taxable supply for the (B) Bagchi-Poddar model
purpose of GST if the value of supply (C) Dual model
to an employee does not exceed: (D) American model
(A) ₹ 5,000 (B) ₹ 20,000 Answer: (C) Dual model
(C) ₹ 50,000 (D) ₹ 1,00,000 Question 12. For the purpose of
Answer: (C) ₹ 50,000 deciding “aggregate turnover” in order
Question 7. Which of the following to determine the GST payable under
incomes/ activities is liable for GST? the composition scheme, which of the
(A) Salary following is to be excluded?
(B) Salary and allowances of MPs (A) Exemption supply
(C) Services by Court (B) Export of goods
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(C) Inter-state branch transfer Question 18. Construction of a

(D) CGST complex, building, civil structure or the
Answer: (D) CGST part thereof including a complex or
Question 13. Goods and Services Tax building intended for sale to a buyer,
(GST) noted to be the greatest tax wholly or partly except where the
reform in India and therefore was entire consideration has been
rolled out with effect from 1st July received after issuance of the
2017. It transforms a system of completion certificate, where required,
taxation and administration into the by a competent authority or after its
digital world by adopting the latest first occupation, whichever is earlier
information technology. The GST for the purpose of taxability under the
model rolled out in India has been CGST Act, 2017 shall be treated as
adapted from: supply of:
(A) France (B) Canada (A) Goods
(C) Argentina (D) None of the above (B) Both goods and services
Answer: (B) Canada (C) Services
Question 14. Special purpose vehicle (D) Contract work
to cater for the IT needs of GST is Answer: (C) Services
called: Question 19. Which of the following
(A) HSN (B) GSTN categories of registered persons are
(C) IGSTN (D) SGSTN not eligible for the Composition
Answer: (B) GSTN Scheme under the CGST Act, 2017?
Question 15. GST in India is levied on (i) Supplier of the Restaurant Ser-
the basis of: vices
(A) Consumption principle (ii) Manufacturer of notified goods
(B) Set-off against that payable (iii) Non-resident taxable persons
principle (iv) Casual taxable person
(C) Destination base principle Select correct answer from the options
(D) Both consumption and destination given below:
base principle (A) (iii) and (iv) (B) (ii), (iii) and (iv)
Answer: (D) Both consumption and (C) (ii) and (iv) (D) (i), (iii) and (iv)
destination base principle Answer: (B) (ii), (iii) and (iv)
Question 16. The tax under GST Question 20. Mr Bala has made
legislation in India is being levied: supply (within State) of taxable goods
(A) Exclusively by Union and State to the tune of ₹ 17 lakh, export
Laws supplies of ₹ 3 lakh and intra-state
(B) Simultaneously by Union and supply of exempt services of ₹ 4 lakh.
State Laws His aggregate turnover as per Section
(C) Only by Union Laws 2(6) of the CGST/SGST Act, 2017 is:
(D) Only by State Laws [June 2018] (A) 17 lakh (B) 20 lakh
Answer: (B) Simultaneously by Union (C) 24 lakh (D) None of the above
and State Laws Answer: (C) 24 lakh
Question 17. GST Council comprises Question 21. A supply made by a
of various persons from Union and taxable person to a recipient
States and is being headed by a Chair consisting of two or more taxable
Person who is: supply of goods or services or both or
(A) Finance Secretary to Government any combination thereof which are
of India only bundled and supplied in
(B) Union Finance Minister conjunction with each other in the
(C) Any State Finance Minister ordinary course of business out of
(D) Union Revenue Minister which one is a principal supply has
Answer: (B) Union Finance Minister
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been defined u/s 2(30) of CGST Act, (B) No, the option availed shall lapse
2017 to mean: from the day on which his aggregate
(A) Mixed supply turnover during the financial year
(B) Composite supply 2019-2020 exceeds ₹ 1.5 Crore
(C) Bundled supply (C) Yes, the option can be availed up
(D) Both (A) and (B) to the completion of half financial year
Answer: (B) Composite supply Le. till 30th September 2019
Question 22. Provision for levy and (D) None of the above
collection of tax on intra-State supply Answer: (B) No, the option availed
of goods or services or both by the shall lapse from the day on which his
Union Territory and for matters aggregate turnover during the
connected therewith or incidental financial year 2019-2020 exceeds ₹
thereto are being enumerated in: 1.5 Crore
(A) CGST Act, 2017 Question 27. The payment of tax by
(B) IGST Act, 2017 an electronic operator who does not
(C) UTGST Act, 2017 have a physical presence in taxable
(D) None of the above territory in India be made by……..
Answer: (C) UTGST Act, 2017 (A) E-commerce operator himself
Question 23. The highest enabling (B) His appointed representative in
limit of a tax rate of IGST has been India
prescribed at: (C) The person who receives supply
(A) 20% (B) 14% (D) Either (A) or (B)
(C) 28% (D) None of the above Answer: (B) His appointed
Answer: (D) None of the above representative in India
Question 24. Taxes that were replaced Question 28. The GST Council for
by GST legislation are: ensuring a single interface has
(A) Purchase tax distributed the administrative control
(B) Luxury tax of taxpayers of certain percentage
(C) Central Sales tax with Central Tax Administration:
(D) Options (A) and (B) above (A) 5% of taxpayers having turnover
Question 25 A registered supplier below ₹ 1 Crore
under com-position levy can withdraw (B) 10% of taxpayers having turnover
at any time and be required to file the below ₹ 1.5 Crore
Form for withdrawal from composition (C) 10% of taxpayers having turnover
levy in: below ₹ 1 Crore
(A) GSTCMP-3 (B) GSTCMP-4 (D) 20% of taxpayers having turnover
(C) GST MIS-1 (D) GST PCT-2 below ₹ 1.5 Crore [Dec. 2018]
Answer: (B) GSTCMP-4 Answer: (B) 10% of taxpayers having
Question 26. Mr S, a manufacturer of turnover below ₹ 1.5 Crore
medicines, whose turnover for the Question 29. Find out from the
financial year 2018-2019 was ₹ 90 following, who will be the member of
lakh opted to pay tax under GST as the GST Council on behalf of each of
per the composition scheme from 1st the State:
April 2019. His turnover crosses ₹ 1.5 (A) Chief Minister of the State
Crore on 30 November 2019. Will he (B) Home Minister of the State
be allowed to pay tax under the (C) The Minister in charge of Finance
composition scheme for the remainder or Taxation or any other Minister
of the year ie. from 1st December nominated by the State Government
2019 to 31st March 2020? (D) Chief Secretary of the State
(A) Yes, he can avail of the benefit till Answer: (C) The Minister in charge of
31st March 2020 Finance or Taxation or any other
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Minister nominated by the State (B) UTGST Act, 2017

Government (C) GST (Compensation to States)
Question 30. GST Council is being Act, 2017
constituted for making a (D) CGST Act, 2017
recommendation on various issues Question 34. Which of the following
relating to policy making, formulation goods is not exempt from GST:
of principle and implementation of (A) Fish seed (B) Icecream
policies relating to CGST Act, 2017. It (C) Pappad (D) Plastic Bangles
is thus…….. Answer: (B) Icecream
(A) An administrative body Question 35. Power to declare certain
(B) A Central level body activities/ transactions as neither
(C) A Committee of Finance Ministers supply of goods nor of services is
(D) An Apex Body given in:
Answer: (D) An Apex Body (A) Schedule IV (B) Schedule IE
Question 31. Exempt supply means (C) Schedule II (D) Schedule I
the supply of any goods or services or Answer: (B) Schedule IE
both which may be wholly exempt Question [Link] 2(6) of the
from tax under section 11 or under CGST/SGST Act, 2017 defines
section 6 of the IGST Act and aggregate turnover which is being
includes…….. computed on an India basis excluding
(i) Non-taxable supply the taxes charged under CGST Act,
(ii) Zero-rated supply SGST Act, UTGST Act and IGST Act.
(iii) Supply having Nil rate of tax Aggregate turnover shall include all
(iv) Composite supply supplies made by a taxable person
Select correct answer from the options comprising of:
given below: (i) Taxable supply
(A) (i), (it) and (iii) (B) (i) and (iv) (ii) Exempt supply
(C) (i) and (iii) (D) All the four above (iii) Export of goods or services
Answer: (C) (i) and (iii) (iv) All Interstate supply of person
Question 32. The exception to the having the same PAN
general rule that “normally, the (v) Supply on which tax is levied on
supplier of goods and services is reverse charge basis
liable to pay tax on supply, even if he (vi) Value of all inward supply
does not collect from his customer ie. Select the correct answer from the
recipient of supply of goods or options given below
services” shall be applicable where (A) (i), (iii), (iv) and (v)
there are: (B) (i), (iii), (iv) and (vi)
(A) Supply from an unregistered (C) All the above in (i) to (vi)
dealer to a registered dealer (D) (i), (ii), (iii) and (iv)
(B) Specified services through an e- Answer: (D) (i), (ii), (iii) and (iv)
commerce operator Question 37. President of India gave
(C) Both (A) and (B) assent to
(D) None of the above (i) Central Goods and Services Tax
Answer: (A) Supply from an Act, 2017
unregistered dealer to a registered (ii) Integrated Goods and Services Tax
dealer Act, 2017
Question 33. A registered person of (iii) Union Territory Goods and
Delhi is buying and selling goods only Services Tax Act, 2017 and
in Delhi and Puducherry. The (iv) Goods and Services Tax
applicable law for GST in his case will (Compensation to State) Act, 2017 on:
be: (A) 13th May 2017 (B) 13th April 2017
(A) State GST (C) 16th April 2017 (D) 6th June 2017
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Answer: (B) 13th April 2017 Answer: (B) 3 months

Question 38. The decision of the GST Question 44. Every decision of the
Council will be adopted when it has Goods and Services Tax Council shall
the support of: be taken at a meeting, by the majority
(A) One-third majority of not less than……..of the weighted
(B) Two-third majority votes of the members present and
(C) Three-fourth majority voting. The vote of the Central
(D) Simple majority Government shall have the weigh tage
Answer: (C) Three-fourth majority of……..of the total votes cast and the
Question 39. The Compensation to votes of all the State Government
States for loss of revenue on account taken together shall have a weigh
of implementation of GST is tage of……..of the total votes cast in
for……..years. that meeting.
(A) 2 (B) 5 (A) 2/3, 1/3, ¾ (B) 3/4, 1/3, 2/3
(C) 8 (D) 10 (C) 2/3, 2/3, 1/3 (D) 3/4, 1/2, 2/3
Answer: (B) 5 Answer: (B) 3/4, 1/3, 2/3
Question 40. When agriculturist Question 45. The Goods and
registered under GST supplies Services Tax Council shall establish a
tobacco leaves to a factory, the liability mechanism to adjudicate any
to pay GST is on. dispute……..
(A) Tobacco leaves the seller (A) Relating to any defect in the
(B) The buyer under reverse charge appointment of a person as a Member
(C) The agriculturist (B) Relating to any procedural
(D) Consumer of tobacco leaves irregularity of the Council
Answer: (B) The buyer under reverse (C) Between the Government of India
charge and one or more States
Question 41. Composition scheme is (D) Relating to the weigh tage of the
not applicable to service providers vote for taking decision
except the following: Answer: (C) Between the Government
(A) Consultancy Service of India and one or more States
(B) Restaurant Service Question 46. Administration and
(C) Beauty Parlors procedural aspects of Goods and
(D) Cleaning work Services Tax are to be administered
Answer: (B) Restaurant Service by the……..which is under the control
Question 42. When goods are packed of the Department of Revenue,
and transported with insurance, the Ministry of Finance, Government of
supply of goods, packing materials, India.
transport and insurance as per (A) Central Board of Indirect Taxes
provisions of the CGST Act, 2017, is and Customs
called as: (B) Central Board of Indirect Taxes
(A) Mixed Supply (C) Central Board of Direct Taxes
(B) Uniform Supply (D) GST Council
(C) Complex Supply Answer: (A) Central Board of Indirect
(D) Composite Supply Taxes and Customs
Answer: (D) Composite Supply Question 47. GST is a comprehensive
Question 43. Service shall be a tax regime covering both Goods and
continuous supply of service agreed to Services and is collected on value-
be provided continuously or on a added at each stage of the supply
recurrent basis under a contract when chain. GST is thus levied on the basis
the period of service exceeds: of ……..
(A) 1 month (B) 3 months (A) Consumption principle
(C) 6 months (D) 1 year (B) Destination principle
commerce guru cma intermediate INdirect tax

(C) Set-off against that payable entire consideration has been

principle received after issuance of the
(D) Both consumption and destination completion certificate, where required,
base principle by a competent authority or after its
Answer: (B) Destination principle first occupation, whichever is earlier
Question 48 Most of the countries in as per section 7 of the CGST Act,
the world follow a uniform GST 2017 read with item specified in
System whereas considering the schedule is known as……..
federal nature of the Indian (A) Goods
Constitution, the Model of GST (B) Both Goods and Services
proposed and implemented in India (C) Services
from 1st July 2017 is…….. (D) Contract work
(A) Unilateral Model Answer: (C) Services
(B) Bilateral Model Question 52. Which of the categories
(C) Dual Model of registered persons who are being
(D) None of the above eligible for the composition scheme
Answer: (C) Dual Model under the CGST Act, 2017:
Question 49. Section 7 of the CGST (A) Supplier of the Restaurant Ser-
Act, 2017 defines the term ‘supply’ vices
which are further being enumerated in (B) Manufacturer of notified goods
the various schedules as specified in (C) Non-resident taxable persons
that section. The section includes (D) Casual taxable person
certain transactions which are even Answer: (A) Supplier of the
without consideration but being Restaurant Ser-vices
construed as supply and also known Question 53. The composition levy
as deemed supply. Such transactions payable by a registered person whose
are being specified in…….. aggregate turnover in the preceding
(A) Schedule II (B) Schedule I Financial Year did not exceed one
(C) Schedule HI (D) Schedule IV crore and fifty lakh rupees making
Answer: (B) Schedule I supply by way of or as part of any
Question 50. Permanent transfer or services or in any other manner
disposal of goods forming part of a whatsoever of goods being food or
business asset by or under the any other article for human
directions of the person carrying on consumption or any drink (other than
the business whether or not for Alcoholic Liquor for human
consideration as well as the transfer of consumption) where such supply or
title in goods under an agreement service is for cash or defer payment or
where the property in goods passes at other valuable consideration shall be
a future date on payment of full at ….. of the turnover.
consideration as per Schedule – II of (A) 0.5% (B) 1%
the CGST Act, 2017 to be treated as (C) 2.5% (D) 5%
…….. Answer: (D) 5%
(A) Supply of Goods Question 54. The liability to pay GST
(B) Supply of Services would depend on the mechanism the
(C) Deemed supply transaction aligns to the supplier who
(D) Both, supply and deemed supply is registered with GST, issues a tax
Answer: (A) Supply of Goods invoice, collects the GST and pays it
Question 51. Construction of a to the Government. This mechanism
complex, building, civil structure or the under GST is known as……..
part thereof including a complex or (A) Forward charge mechanism
building intended for sale to a buyer, (B) Reverse charge mechanism
wholly or partly except where the (C) Composition levy mechanism
commerce guru cma intermediate INdirect tax

(D) Taxable supply mechanism included in determining the value of

Answer: (A) Forward charge supply for the purpose of GST?
mechanism (A) Packing
Question 55. The exempt supply has (B) Discount
been defined as the supply of any (C) Interest for late payment
goods/services/ both, which attract a (D) Installation charges
Nil rate of tax, or which may be wholly Answer: (B) Discount
exempt from tax, and therefore, Question 60. Refreshments were
includes non-taxable supplies. Which supplied on board in an aircraft
of the following is covered as an proceeding from Chennai to Delhi. It
exempt supply under GST? had a stop at Hyderabad. The
(A) Branded Atta/Besan/Maida refreshments were taken on board at
(B) Services by IRDA, SEBI, RBI, Hyderabad. The place of supply is:
EPFO (A) Delhi (B) Chennai
(C) Services by Post Office (C) Hyderabad (D) None of the above
(D) Services by the Government for Answer: (C) Hyderabad
transportation of passenger Question 61. The time of supply
Answer: (B) Services by IRDA, SEBI, “where goods or services or both have
RBI, EPFO been supplied in a situation where the
Question 56. The supply of invoice issued before the change in
Goods/Services/ both, where the the rate of tax but payment received
location of the supplier and the place after the change in the rate of tax” as
of supply is in the same State or same per section 14 of the CGST Act, 2017
Union Territory under CGST Act, 2017 shall be:
and UTGST Act, 2017 is known as (A) Date of issue of invoice
a…….. (B) Date of receipt of payment or the
(A) Inter-State supply date of issue of the invoice whichever
(B) Export supply is earlier
(C) Intra-State supply (C) Date of receipt of payment
(D) Not Intra-State supply (D) None of the above
Answer: (C) Intra-State supply Answer: (A) Date of issue of invoice
Question 57. Service would be called Question 62. The subsidy is given by
as “continuous supply of service” if the the Central Government or a State
service under a contract is provided Government while determining the
continuously or on a recurrent basis value of taxable supply under Goods
exceeding: and Services Tax (GST) as per
(A) One year (B) 6 months section 15 of the CGST Act, 2017:
(C) 3 months (D) 1 month (A) Included in the transaction value
Answer: (C) 3 months Le. value of taxable supply
Question 58. Mr Ram supplied goods (B) Just ignored no treatment
to Mr Laxman. The invoice is dated (C) Shall not be included in trans-
30.7.2018. The payment was received action value Le. value of taxable
for the supply on 30.10.2018. The supply
goods were dispatched on 5.8.2018. (D) Deducted from the transaction
What is a time of supply under the value Le. value of taxable supply
GGST Act? Answer: (C) Shall not be included in
(A) 5.8.2018 (B) 30.7.2018 trans-action value Le. value of taxable
(C) 30.10.2018 (D) None of the above supply
Answer:(B) 30.7.2018 Question 63. ABC Ltd. of Mumbai
Question 59. Which of the following supplied goods to XYZ Ltd. of Delhi
though shown in Bill will not be under a contract for the goods to be
delivered at the factory of the buyers.
commerce guru cma intermediate INdirect tax

Goods removed from the factory of from the factory of ABC Ltd. on 9th
ABC Ltd. on 9.8.2019 and were September 2020 and the goods were
delivered to the factory of XYZ Ltd. of delivered to the factory of XYZ Ltd. on
Delhi on 16.8.2019. The invoice for 15th September 2020.
the supplies was raised by ABC Ltd. The invoice was issued on 18th
on 18.8.2019. Payment of the bill was September 2020 and the payment
received on 20.9.2019. The time of was credited to ABC’s account on
supply in this case under GST be 20th Oct. 2020 although the entry in
taken as: the books was made on 19th Sept.
(A) 9.8.2019 (B) 16.8.2019 2020 when the cheque was received.
(C) 18.8.2019 (D) 20.9.2019 The time of supply, in this case, will be
Answer: (A) 9.8.2019 (A) 18th September 2020
Question 64. When an unregistered (B) 9th September 2020
dealer sup-plied goods to a registered (C) 15th September 2020
dealer, the time of supply under (D) 20th October 2020
reverse charge shall be earliest of the: Answer: (B) 9th September 2020
(A) date of receipt of goods Question 68. What will the value of the
(B) date of supply of goods supply of the mobile phone sold by
(C) date of loading of goods in Micromax to Anil Kumar for ₹ 35,000
transport in exchange for his old mobile phone?
(D) date of intimation of supply of The sale price of the new mobile
goods phone without exchange is ₹ 40,000.
Answer: (A) date of receipt of goods The value of the old mobile phone so
Question 65. Ram & Company of exchanged was ₹ 7,000.
Delhi has taken a contract to supply of (A) ₹35,000 (B) ₹ 40,000
food in New Delhi- Mumbai Rajdhani (C) ₹ 42,000 (D) ₹ 33,000
Express and the supplies of food in Answer: (B) ₹ 40,000
the train are being taken on board at Question 69. Mishra Enterprises had
Kota in Rajasthan from Agarwal Food made supplies of ₹ 5,50,000 to Bee
& Caterers. The place of supply in Kay Enterprises. Municipal Authorities
such case shall be…….. of Jaipur on such supplies levied the
(A) Delhi (B) Kota tax @ 10% of ₹ 55,000. CGST and
(C) Mumbai (D) None of the above SGST chargeable on the supply was
Answer: (B) Kota of ₹ 66,000. Packing charges not
Question 66. Mr Ravi Raj a registered included in the price of ₹ 5,50,000
person based in Ahmedabad solicits amounted to ₹ 15,000. A subsidy of ₹
the services of an Event Management 25,000 was received from an NGO on
Company based in Mumbai for his the sale of such goods and the price
daughter’s marriage planned as a of ₹ 5,50,000 is after taking into
destination wedding at a Palace account the amount of subsidy so
located in Udaipur. The place of received. The discount offered is @
supply, in this case, shall be…….. and 1% which was mentioned on the
tax to be charged under …….. invoice. The value of supply, in this
(A) Ahmedabad, IGST case, shall be……..
(B) Mumbai, IGST (A) ₹ 6,45,000 (B) ₹ 6,39,500
(C) Udaipur, IGST (C) ₹ 6,20,000 (D) ₹ 6,38,550
(D) Ahmedabad, SGST Answer: (B) ₹ 6,39,500
Answer: (A) Ahmedabad, IGST Question 70. Babur Automobiles of
Question 67. ABC Ltd. supplied goods Jaipur has supplied the goods of ₹
to XYZ Ltd. under a contract for the 2,66,090 to Goel Automobiles of Ajmer
goods to be delivered to the factory of in the month of March 2020. The
XYZ Ltd. The goods were removed supply so made was inclusive of tax
commerce guru cma intermediate INdirect tax

charged as CGST and SGST which Question 74. Section 2(62) of the
on the products so sold as per rates CGST Act, 2017 specifies input tax in
prescribed under CGST Act, 2017 is relation to a registered person to
@ 1896. The value of supply as per mean Central Tax, State Tax,
Rule 35 of the CGST Rules, 2017 of Integrated Tax or Union Territory Tax
such supply shall be …….. charged on any supply of goods or
(A) ₹ 2,66,090 (B) ₹ 2,25,000 services or both and also include:
(C) ₹ 3,13,986 (D) ₹ 2,25,500 (i) Integrated goods and services tax
Answer: (D) ₹ 2,25,500 charged on import of goods.
Question 71. Mani gave goods for (ii) Tax under the provisions of section
processing by Murali. While Mani is 9(3) and 9(4)
registered in GST, Murali is not (iii) Tax paid under composition levy
registered in GST. Both are in (iv) Tax under Union Territory Goods
Chennai. The processing is liable for and Services Tax Act.
GST @ 596. The goods were received The correct answer is –
after processing on 11.7.2018. Entries (A) All the above four
in the books were made by Mr Mani (B) (i), (ii) and (iv)
on 12.7.2018. The delivery challan (C) (i) and (ii)
was also received on 11.7.2018. Job (D) (ii), (iii) and (iv)
work charges amount to ₹ 1,00,000 Answer: (B) (i), (ii) and (iv)
(without GST). When and how much Question 75. Mr Pankaj of Delhi
is the GST liability? And who must supplied goods to Mr Krishna of Delhi
pay? for ₹ 1 lakh, on which total GST was
(A) 11.7.2018; ₹ 5,000 and Murali charged @ 12%. Mr Krishna, after
must pay purchasing of goods, added a 20%
(B) 12.7.2018; ₹ 1,050; and Murali margin of profit (on cost) and sold the
must pay entire goods to Mr Ravi of Delhi. The
(C) 11.7.2018; ₹ 5,000 and Mani must total amount of tax payable after
pay claiming input tax on such transaction
(D) 12.7.2018; ₹ 2,500 and Mani must by Mr Krishna is:
pay (A) ₹ 12,000 (B) ₹ 14,400
Answer: (C) 11.7.2018; ₹ 5,000 and (C) ₹ 2,400 (D) None of the above
Mani must pay Answer: (C) ₹ 2,400
Question 72. Which of the following Question [Link] of Surat, Gujarat
expenditure is eligible for an input tax supplied goods to Patil of Mumbai,
credit? Maharashtra for ₹ 1,20,000 (excluding
(A) Membership fee of a club GST) but after adding 30% profit
(B) Home travel concession extended margin (on cost). Patil is also a
to employees taxable person. IGST rate is 18%. The
(C) Goods given as free gifts amount of input tax credit that can be
(D) Caterer using the service another availed and the maximum time limit for
caterer availing such input tax credit by Patil
Answer: (D) Caterer using the service of Mumbai, Maharashtra as per CGST
another caterer Act, 2017 is……..
Question 73. Who must perform the (A) ₹ 28,080 and within 6 months from
function of Tax Collection at Source the date of issue of tax invoice
(TCS) under GST? (B) ₹ 7,020 and within next quarter
(A) E-commerce operator from the date of issue of tax invoice
(B) Transport operator (C) ₹ 21,600 and within 1 year from
(C) Job workers the date of issue of tax invoice
(D) Input service distributor (D) None of the above
Answer: (A) E-commerce operator
commerce guru cma intermediate INdirect tax

Answer: (C) ₹ 21,600 and within 1 Question 80. The available balance of
year from the date of issue of tax input tax credit in the electronic ledger
invoice of the registered person on account of
Question 77. The stipulated time limit Union territory tax shall be utilized as
within which inputs and capital goods per section 9 of UTGST Act,
sent to a job working in job work, shall 2017……..
be brought back and beyond that (A) First towards payment of central
period it will be treated as supply and tax
tax is payable by the principal as per (B) First towards payment of
CGST Act, 2017 is…….. integrated tax
(A) 6 months and 1 year in case of (C) First towards payment of Union
inputs and capital goods respectively territory tax and the amount
(B) 1 year and 2 years in case of remaining, if any towards payment of
inputs and capital goods respectively integrated tax
(C) 1 year and 3 years in case of (D) None of the above
inputs and capital goods respectively Answer: (C) First towards payment of
(D) None of the above [Dec. 2018] Union territory tax and the amount
Answer: (C) 1 year and 3 years in remaining, if any towards payment of
case of inputs and capital goods integrated tax
respectively Question 81. When the goods are
Question 78. The credit of tax paid on sent to the job worker input tax credit
input services used by more than one will be reversed if the goods are not
supplier be distributed as per received back by the principal after
provisions of the CGST Act, 2017 completion of job work within……..of
…….. being sent out.
(A) Only to one supplier (A) 3 months (B) 6 months
(B) Equally among all the suppliers (C) 1 year (D) 3 years
(C) Among the suppliers who used Answer: (C) 1 year
such input service on a pro-rata basis Question 82. Input Service Distributor
of turnover in such state (ISD) may distribute the CGST credit
(D) Cannot be distributed [Dec. 2018] within the State as:
Answer: (C) Among the suppliers who (A) UTGST (B) CGST
used such input service on a pro-rata (C) SGST (D) Any of the above
basis of turnover in such state Answer: (B) CGST
Question 79. Section 51 of the CGST Question 83. The registered person, in
Act, 2017 mandates deduction of tax case of the supply of capital goods or
at source (TDS) at a specified of plant and machinery on which input
percentage by the Government or tax credit (ITC) has been
Local Authorities from the payments availed/taken shall pay an amount
made or credited to the supplier where equal to the Input Tax Credit on such
the value of supply under a contract capital goods or plant and machinery
exceeds the specified limit. State the which is being arrived at by reducing
specified percentage of TDS and the the Input-tax at percentage points for
threshold limit of taxable goods or every quarter or part thereof from the
services or both under the contract date of issue of invoice of such goods
…….. or the tax on the transaction value of
(A) 0.50% & ₹ 1,00,000 such capital goods, whichever is
(B) 0.75% & ₹ 1,50,000 higher.
(C) 2% ₹ 5,00,000 (A) 3 (B) 5
(D) 1% & ₹ 2,50,000 (C) 6 (D) 2
Answer: (D) 1% & ₹ 2,50,000 Answer: (B) 5
commerce guru cma intermediate INdirect tax

Question 84. Radhey & Company Question 88. A registered taxable

registered supplier paying GST under person is eligible to obtain Input Tax
the regular scheme had made Credit (ITC) as per section 16 of the
Interstate Taxable Supply of ₹ CGST Act, on fulfilling of certain
8,00,000 and Intra-State Taxable conditions which consist of that such
Supply of ₹ 6,00,000 chargeable person should :
under CGST, SGST, and IGST at the (i) Be in possession of tax invoice
rates of 9%, 9% and 18% respectively. (ii) Have received the goods
He is having the available amount of (iii) Supplier have not paid the tax
ITC under CGST of ₹ 30,000 and charged
under SGST of ₹ 20,000. Supplies (iv) Supplier have furnished the re-turn
made are exclusive of taxes. Amount u/s 39
of the total tax payable as CGST, (A) (i), (ii) & (iv) (B) (i), (iii) & (iv)
SGST and IGST after availing the (C) (i), (ii) & (iii) (D) (i), (ii), (iii) & (iv)
amount of ITC by Radhey & Company Answer (A) (i), (ii) & (iv)
on such supplies shall be of…….. Question 89. Availability of Input Tax
(A) ₹ 2,30,000 (B) ₹ 2,00,000 Credit in special cases as per section
(C) ₹ 2,22,000 (D) ₹ 2,26,000 18( 1) of the CGST Act, 2017 is
Question 85. To avail input tax credit, available where a registered person is
which of the following factors is not having a tax invoice relating to such
relevant: supply issued not after the expiry
(A) Tax invoice of……..from the date of issue of tax
(B) Furnishing of return by the supplier invoice.
(C) Receipt of goods and services (A) 3 months (B) 6 months
(D) Payment by the buyer for supply (C) 1 year (D) 9 months
received Answer: (C) 1 year
Answer: (D) Payment by the buyer for Question 90. When a person evades
supply received GST or avails of input tax credit
Question 86. The input tax credit exceeding ₹ 500 lakhs he is liable for
cannot be availed after the expiry the following punishment:
of……..from the date of issue of tax (A) Imprisonment for 5 years and with
invoice of supply. fine
(A) 6 months (B) 3 months (B) Imprisonment for 3 years and with
(C) 1 year (D) 2 years fine
Answer: (C) 1 year (C) Imprisonment for 3 years
Question 87 Section 2(62) of CGST (D) Imprisonment for 5 years
Act, 2017 specify input tax in relation Answer: (A) Imprisonment for 5 years
to a registered person, which means and with fine
the Central Tax, State Tax, Integrated Question 91. The Input Tax Credit
Tax or Union Territory Tax charged on (ITC) is being credited to……..of a
any supply of goods or services or person which may be used by the
both made to him but does not include person to pay his output tax liability.
(A) Integrated goods and services tax (A) Electronic Cash Ledger
charged on import of goods (B) Electronic Credit Ledger
(B) Tax under the provisions of section (C) Electronic Tax Ledger
9(3) and 9(4) (D) Electronic Tax Credit Ledger.
(C) Tax paid under composition levy Answer: (B) Electronic Credit Ledger
(D) Tax under Union Territory Goods & Question 92. Zebra, a supplier of
Services Tax Act goods located at Jaipur paid GST
Answer: (C) Tax paid under under regular scheme both inter-State
composition levy and intra-State. The supplies are
chargeable to GST @ 18%. The
commerce guru cma intermediate INdirect tax

outward taxable supply in the month (C) Tax charged is less than the tax
of February 2020 made by him of payable
intra-State ₹ 12,00,000 and inter- (D) When the goods supplied are
State ₹ 5,00,000. The total tax liability deficient
under GST Act on both these supplies Answer: (C) Tax charged is less than
shall be…….. if he is having the the tax payable
Opening Balance of ITC available of ₹ Question 97. Madhan is located in
45,000 each under CGST and SGST Chennai. He has a branch office in
and of ₹ 55,000 under IGST. Cochin. He wants to transfer goods.
(A) ₹ 3,06,000 (B) ₹ 2,16,000 His turnover was always below ₹ 10
(C) ₹ 1,61,000 (D) ₹ 1,71,000 lakh. His registration under GST is:
Answer: (A) Voluntary
(A) ₹ 3,06,000 / (C) ₹ 1,61,000 (B) Compulsory
Question 93. Integrated tax credit as (C) Compulsory only when turnover
per section 9 A of UTGST Act, 2017 exceeds ₹ 40 lakh
on account of Union Territory Tax shall (D) As and when deemed by the
be utilized towards payment of Revenue
……..only after the input tax credit Answer: (B) Compulsory
available on account of …….. has first Question 98. A taxable person whose
been utilized towards such payment. registration has been cancelled or
(A) Integrated Tax and Union Terri-tory surrendered must file the final return
Tax, Integrated Tax of GST within:
(B) Union Territory Tax, Input Tax (A) 6 months of the cancellation
(C) Integrated Tax or Union Territory (B) 6 months after the end of the
Tax, Union Territory Tax financial year
(D) Integrated Tax or Union Territory (C) 3 months after the end of the
Tax, Integrated Tax financial year
Answer: (D) Integrated Tax or Union (D) 3 months after the date of
Territory Tax, Integrated Tax cancellation
Question 94. The threshold limit of Answer: (D) 3 months after the date of
turnover for registration under GST in cancellation
the case of a person earning on the Question 99. When a person liable to
business of supplying goods in pay tax under GST claims excess
Gujarat is: input tax credit or excess reduction in
(A) ₹ 10 lakh (B) ₹ 40 lakh output tax liability, he shall pay interest
(C) ₹ 30 lakh (D) ₹ 50 lakh not exceeding:
Answer: (B) ₹ 40 lakh (A) 12% (B) 15%
Question 95. XYZ Co. Ltd. registered (C) 24% (D) 21%
under GST has to maintain accounts Answer: (C) 24%
and records until the expiry Question 100. When a special audit is
of……..months from the due date directed under GST with the prior
furnishing the annual return for the approval of the Commissioner the
year. audit report signed and certified must
(A) 36 months (B) 84 months be submitted within ……..days.
(C) 72 months (D) 60 months (A) 15 (B) 45
Answer: (C) 72 months (C) 90 (D) 150
Question 96. Debit note is issued by Answer: (C) 90
the supplier of goods when: Question 101. Online information and
(A) Tax charged in the invoice is database access or retrieval service
excessive do include the following:
(B) When the goods are returned by (A) Online gaming
the recipient (B) Cloud services
commerce guru cma intermediate INdirect tax

(C) Advertising on the internet Question 105 Time duration as per

(D) Physical delivery of goods section 36 of the CGST Act, 2017 for
Question 102. XYZ Limited engaged retention of accounts and records
in various activities is having a under GST is until the expiry
garment showroom in Allahabad and a of……..months from the due date of
leather processing unit in Kanpur. furnishing of annual return for the year
Both these units of XYZ Limited under pertaining to such accounts and
Section 2 of the CGST Act, 2017 shall record.
be treated as: (A) 72 (B) 84
(A) Business Partners (C) 60 (D) None of the above
(B) Business units Answer: (A) 72
(C) Show-room and Factory Question 106. A casual taxable person
(D) Business Verticals or a non-resident taxable person shall
Answer: (D) Business Verticals be required to apply for registration at
Question 103. Raj & Co., applied for least ……..days prior to the
voluntary registration under CGST commencement of business.
Act, 2017 on 5th July 2018 and the (A) 30 (B) 5
registration was granted on 15th July (C) 15 (D) 7
2018. Raj & Co. was having the stock Answer: (B) 5
available against the invoices for a Question 107. A non-resident taxable
period of 3 months old. Raj & Co. shall person is required to provide details in
be eligible for an input tax credit on the return for a non-resident foreign
such stock as held as on: taxable person in the Return Form
(A) 30th June 2017 (B) 5th July 2017 No.:
(C) 15th July 2017 (D) 14th July 2017 (A) GSTR-3 (B) GSTR-5
Answer: (D) 14th July 2017 (C) GSTR-8 (D) None of the above
Question 104. A registered person as Answer: (B) GSTR-5
per Section 35 of the GST Act, 2017 is Question 108. Input Service
required to maintain proper accounts Distributor shall file the return in
and records, and keep at his GSTR-6 for the input service
registered, principal place of business. distributed by:
Following are the records specified (A) 10th of the next month
under this section are to be (B) 18th of the next month
maintained by the registered person: (C) 13th of the next month
(i) Production or manufacturing of (D) 20th of the next month
goods Answer: (C) 13th of the next month
(ii) Inward and Outward supply of Question 109. Section 56 of the CGST
goods or services or both Act, 2017 specifies that if any tax
(iii) Stock of goods ordered to be refunded after the order
(iv) Input credit availed of an Appellate Authority is not
(v) Output tax payable and paid refunded within 60 days from the date
(vi) Such other particulars as may be of the application filed consequent to
prescribed such order, interest as such rate not
Select correct answer from the options exceeding……..shall be payable in
given below: respect of such refund.
(A) (i), (ii) and (iv) (A) 90% (B) 6%
(B) All the six as given in above (C) 12% (D) 18%
(C) (i), (ii), (iii) and (v) Question 110. A taxable person who
(D) (i), (ii), (iv), (v) and (vi) makes an excess claim of input tax
Answer: (B) All the six as given in credit or excess reduction in output
above tax liability shall pay interest at such
rate not exceeding:
commerce guru cma intermediate INdirect tax

(A) 18% (B) 24% (D) Untilexpiryof72monthsfromthe due

(C) 20% (D) 21% date of furnishing of annual return for
Answer: (B) 24% the year pertaining to such accounts
Question 111. A proper officer not and records.
below the rank of Joint Commissioner Answer: (D) Until expiry of 72 months
or an officer authorized by such from the due date of furnishing of
proper Officer can make an order of annual return for the year pertaining to
seizure in Form: such accounts and records
(A) GST INS-01 Question 115. Find out from the
(B) GST INS-02 following, who are the persons not
(C) GST INS-03 liable for registration under section 23
(D) None of the above of the CGST Act, 2017:
Answer: (B) GST INS-02 (A) Non-resident making taxable
Question 112. Goods seized by a supply
proper Officer or an Authorized Officer (B) Person supplying exempted goods
can be released on a provisional basis and services or goods or services
upon execution of a bond for the value which are not liable for tax under GST
of goods and furnishing of security. (C) An agriculturist, to the extent of
The bond so executed will be in Form: supply of produce out of cultivation of
(A) GST INS-06 land
(B) GST INS Bond-03 (D) Both (B) and (C)
(C) GST INS-01 Answer: (D) Both (B) and (C)
(D) GST INS-4 Question 116. The maximum validity
Answer: (D) GST INS-4 period of the certificate of registration
Question 113. A taxable person whose issued to a casual and non-resident
registration has been surrendered or taxable person as per Section 27 of
cancelled is required to file the return the CGST Act, 2017 is:
within 3 months of the date of (A) 90 days from the effective date of
cancellation or date of cancellation registration
order whichever is later in Form (B) 180 days from the effective date of
Number…….. registration
(A) GSTR-13 (B) GSTR-10 (C) 365 days from the effective date of
(C) GSTR-7 (D) GSTR-9 registration
Answer: (B) GSTR-10 (D) None of the above
Question 114. The time duration for Answer: (A) 90 days from the effective
retention of accounts and records date of registration
under Goods and Services Tax (GST) Question 117. The quantum of
as per section 36 of the CGST Act, punishment “where any person
2017 is: convicted of an offence under section
(A) Untilexpiryof36monthsfromthe due 132(2) of the CGST Act, 2017 and
date of furnishing of annual return for again convicted of an offence under
the year pertaining to such accounts this section” is:
and records (A) Imprisonment for a term which
(B) Until the expiry of 48 months from may extend to five years and with a
the due date of furnishing of annual fine.
return for the year pertaining to such (B) Imprisonment for a term which
accounts and records may extend to four years and with a
(C) Until the expiry of 60 months from fine.
the due date of furnishing of annual (C) Imprisonment for a term which
return for the year pertaining to such may extend to three years and with a
accounts and records fine.
commerce guru cma intermediate INdirect tax

(D) Imprisonment for a term which of annual return of the period to which
may extend to two years and with a the tax not paid relates
fine. (B) Fails to file a general return under
Answer: (A) Imprisonment for a term section 39 and within 5 years from the
which may extend to five years and due date of annual return of the period
with a fine. to which tax not paid relates
Question 118. The validity period (C) Fails to file a final return under
specified for an e-way bill or a section 45 even after the notice under
consolidated e-way bill under E-way section 46 and within 5 years from the
rules as specified in rule 138 for …….. due date of annual return of the period
(A) Distance up to 1 km – half day to which tax not paid relates
(B) Distance up to 10 km – 1 day (D) Both (B) and (C) above
(C) For every 100 km or part thereof Answer: (D) Both (B) and (C) above
thereafter—one additional day Question 121. State which shall be
(D) Both (B) and (C) above [Dec. taken as the effective date of
2018] registration as per CGST Act, 2017
Answer: (C) For every 100 km or part where the aggregate turnover of
thereof thereafter—one additional day Madhur Company engaged in the
Question 119. Grounds which leads a supply of taxable services in the state
commissioner to order for a special of Rajasthan exceeded ₹ 40 lakh
audit in case of a registered person by during the year on 25th September
a communication in writing for getting 2018, the application for registration
his records including books of account under GST was filed on 19th October
examined and audited and by a 2018 and the
person who…….. registration certificate was granted on
(A) Supplies any goods or service or 29th October 2018 by the authority:
both without the issue of any invoice (A) 25-9-2017 (B) 19-10-2017
by Cost Accountant or Company (C) 24-10-2017 (D) 29-10-2017
Secretary. Answer: (A) 25-9-2017
(B) Avail input tax credit with a bogus Question 122. Consumer Welfare
invoice by Company Secretary or Cost Fund has been constituted by the
Accountant. Government of India and as per
(C) Has not correctly declared the section 57 of the CGST Act, 2017, the
value or the credit availed is not within following amounts will be credited to
the normal limits, by a Chartered this fund:
Accountant or a Cost Accountant. (i) Amount referred to in section 54(5)
(D) None of the above (it) Refund of tax in pursuance of
Answer: (C) Has not correctly section 77
declared the value or the credit (iii) Income from investment of the
availed is not within the normal limits, fund amount
by a Chartered Accountant or a Cost (iv) Refund of unutilized input tax
Accountant. credit
Question 120. State the default Select correct answer from the options
committed on the part of a registered given below:
person which attracts an action by the (A) (ii) and (iii) (B) (i) and (iii)
proper officer to make best judgment (C) (i), (it) and (iv)
assessment and also state the time (D) All the four above
limit within which such assessment is Answer: (B) (i) and (iii)
to be made: Question 123. The assessee is
(A) Furnish inaccurate data in return required mandatorily to mention the
and within 2 years from the due date Harmonized System Nomenclature
(HSN) or Service Accounting Code
commerce guru cma intermediate INdirect tax

(SAC) on the tax invoice of the paying tax under section 10 of CGST
product or service supplied under Act, 2017 has not furnished the
GST: returns for a continuous period of:
(A) Having a turnover of ₹ 2 Crore (A) 12 months (B) 9 months
and above (C) 6 months (D) 3 months
(B) Having a turnover of ₹ 3 Crore Answer: (C) 6 months
and above Question 129. Goods and Services to
(C) Having a turnover of ₹ 4 Crore be supplied chargeable under the
and above CGST Act, 2017 have been classified
(D) Having a turnover of ₹ 5 Crore under different specified Code
and above Number/s which are known as
Answer: (D) Having a turnover of ₹ 5 Harmonized System Nomenclature
Crore and above (HSN) Codes. These HSN codes have
Question 124. A supplier registered been evolved and developed by:
under the composition scheme must (A) GST Council
file the return within…….. (B) HSN/SAC Codes Committee
(A) 7 days after the end of every (C) Customs Cooperation Council of
month Belgium
(B) 20 days after the end of every (D) None of the above
month Answer: (C) Customs Cooperation
(C) 30 days from the end of F.Y. Council of Belgium
(D) 20 days after the end of every Question 130. Section 24 of the CGST
quarter Act, 2017 lists categories of persons
Answer: (D) 20 days after the end of who are required to take registration
every quarter even if they are not covered under
Question 125. Mr. Pandit is engaged section 22 of the Act. Find out from
in the trading of gifts articles and his the following categories of persons
annual turn-over will exceed ₹ 200 who are being required to take
lakh. The due date for filing the annual registration as per section 24 of the
return would be……..of the following CGST Act, 2017:
financial year. (i) Casual taxable person
(A) 31st October (ii) Non-resident taxable person
(B) 31st December (iii) Recipient of service under reverse
(C) 30th September charge
(D) 30th November (iv) Inter-state supplier of goods
Answer: (B) 31st December (v) Input service distributor
Question 126 When a movement of Select the correct answer from the
goods is of more than in value, the e- options given below:
way bill must accompany the goods. (A) (i), (iii) and (v)
(A) ₹ 20,000 (B) ₹ 50,000 (B) (i), (ii), (iv) and (v)
(C) ₹ 1,00,000 (D) ₹ 2,00,000 (C) (i), (ii) and (v)
Answer: (B) ₹ 50,000 (D) All the 5 in (i) to (v)
Question 127. When the goods are Answer: (D) All the 5 in (i) to (v)
dispatched to a destination which is Question 131. The certificate of
280 km from the place of dispatch, the registration issued to a casual taxable
e-way bill generated is valid for: person or to a non-resident taxable
(A) 1 day (B) 3 days person shall be valid for the period
(C) 2 days (D) 5 days specified in the application for
Answer: (B) 3 days registration or for……..days from the
Question 128. The proper officer may effective date of registration whichever
cancel the GST registration, if any is earlier. The validity of the
registered person other than a person registration period on a request made
commerce guru cma intermediate INdirect tax

by such taxable person may be further (C) TAN, 15 (D) PAN, 12

extended by the Proper Officer for a Answer: (B) PAN, 15
period not exceeding……..days. Question 136. Every supplier as per
(A) 60,45 (B) 90,60 section 22 of the CGST Act, 2017
(C) 90,90 (D) 90,30 shall be liable to be registered under
Answer: (B) 90,60 this Act in the State where he makes
Question 132. The Proper Officer may taxable supplies of goods or services
make the best judgment assessment or both if his aggregate turnover in the
of the registered person where he fails Financial Year exceeds……..
to file a general return under section (A) ₹ 20,00,000 (B) ₹ 40,00,000
39 or final return under section 45 (C) ₹ 30,00,000 (D) ₹ 60,00,000
even after notice is given under Answer: (A) ₹ 20,00,000
section 46 of the CGST Act, 2017 Question 137. Section 22 of the CGST
within……..years from the due date of Act, 2017 refers to the expression
annual return of the period to which “Special Category States” and there
the tax not paid relates. are total……..special category States
(A) 5 (B) 3 as per sub-clause (2) of Clause (4) of
(C) 2 (D) 1 Article 279A of the Constitution.
Answer: (A) 5 However, special category States for
Question 133. Refund order should be the purpose of registration under the
made by the Proper Officer CGST Act, 2017 out of which
within……..days from the date of are……..
receipt of application which is (A) 7, 2 (B) 7,4
complete in all respects and where the (C) 11,4 (D) 11,7
Proper Officer is satisfied with the Answer: (C) 11,4
amount so refundable is payable to Question 138. Section 2(77) of CGST
the applicant, he shall make an order Act, 2017 defines a “non-resident
in Form……..which shall be credited taxable person” who has a business
to the account of the applicant. outside India, comes to India for a
(A) 45, GST-RFD-5 temporary business purpose. Such
(B) 90, GST-RFD-4 person would need to register as a
(C) 60, GST-RFD-6 non-resident taxable person in the
(D) 90, GST-RFD-6 State and he will be granted
Answer: (C) 60, GST-RFD-6 registration for a maximum period
Question 134. Which of the following of……..under the Act.
is not liable to be registered as per (A) 90 days (B) 45 days
provisions of the CGST Act, 2017: (C) 60 days (D) 30 days
(A) Person supplying exempted goods Answer: (A) 90 days
(B) Non-resident making taxable Question 139. The application for
supplies registration filed as per Rule 8, prior to
(C) Deductor of tax at source the grant of registration be examined
(D) Supplier on behalf of another and if found to be deficient, a notice to
person the applicant in Form ……..be issued
Answer: within a period of ……..days from the
(A) Person supplying exempted goods date of submission of application.
Question 135. The registration under (A) GST REG-03, 7
GST is……..based on a State-specific (B) GST REG-03, 3
number and is known as GST (C) GST REG-05, 7
Identification Number (GSTIN) which (D) GST REG-01, 3
is a ……..digit number under the Answer: (B) GST REG-03, 3
CGST Act, 2017. Question 140. Any person required to
(A) TAN, 12 (B) PAN, 15 deduct tax or required to collect tax at
commerce guru cma intermediate INdirect tax

source under GST as per Rule 12 case of taxable supply of services

shall electronically submit an shall be issued under Rule 47 of
application for the grant of registration CGST Rules, 2017, within a period
in Form……..and after verification of of……..from the date of supply of
the application, the proper officer may service.
grant the registration and issue the (A) 7 days (B) 15 days
certificate of registration in Form…….. (C) 30 days (D) on the same day
(A) GST REG-5, GST REG-4 Answer: (C) 30 days
(B) GST REG-8, GST REG-7 Question 145. Section 35(5) of the
(C) GST REG-7, GST REG-6 Central Goods & Services Tax (CGST)
(D) GST REG-10, GST REG-9 Act, 2017 mandates that every
Answer: (C) GST REG-7, GST REG-6 registered person must
Question 141. The proper officer, it get his accounts audited by a……..if
has reasons to believe that the his aggregated turnover during a
registration of a person is liable to be financial year exceeds ₹……..
cancelled under section 29 of CGST (A) Chartered Accountant or Company
Act, then he shall issue a notice to Secretary, 2 Crore
such person in Form ……..and after (B) Chartered Accountant or Cost
considering the reply furnished by Accountant, 2 Crore
such person shall pass on the order to (C) Chartered Accountant or Company
drop proceedings in Form …….. Secretary or Cost Accountant, 3 Crore
(A) GST REG-16, GST REG-17 (D) Chartered Accountant, 3 Crore
(B) GST REG-17, GST REG-18 Answer: (B) Chartered Accountant or
(C) GST REG-17, GST REG-19 Cost Accountant, 2 Crore
(D) GST REG-17, GST REG-20 Question 146. Every registered
Answer: person as per section 68 of CGST Act,
(D) GST REG-17, GST REG-20 2017 who causes movement of goods
of consignment value greater
Question 142. Mundra Manufacturing than……..whether for supply or
Company of Jaipur on the order otherwise or due to the inward supply
placed by Dheer- aj Enterprises of from an unregistered person, shall
Noida for the supply of goods before the commencement of such
despatched the goods from the factory movement, furnish the necessary
located at Jaipur on 1 st March 2021. information electronically on the portal
The tax invoice for such supply by in the prescribed form.
Mundra Manufacturing Company must (A) ₹ 50,000 (B) ₹ 25,000
be issued on Dheeraj Enterprises on (C) ₹ 1,00,000 (D) ₹ 5,000
or before…….. Answer: (A) ₹ 50,000
(A) 30th March 2021 Question 147. The Electronic Liability
(B) 1st March 2021 Register specified under section 49(7)
(C) 15th March 2021 of the CGST Act, 2017 as per Rule 85
(D) 7th March 2021 of the CGST Rules, 2017 shall be
Answer: (B) 1st March 2021 maintained in Form……..for each
Question 143. A draft template of person liable to pay tax, penalty, late
invoice to be raised by a registered fees or any other amounts payable by
person liable to pay tax under him on the common portal which shall
Reverse Charge Mechanism (RCM) be debited to the said register.
under GST is known as…….. (A) GST PMT-10
(A) GSTINV-1 (B) GSTINV-2 (B) GST PMT-01
(C) GSTINV-3 (D) GSTINV-4 (C) GST PMT-05
Question 144. Tax invoice referred to (D) GST PMT-02
in Rule 46 of CGST Rules, 2017, in Answer: (B) GST PMT-01
commerce guru cma intermediate INdirect tax

Question 148. Section 56 of the CGST (B) The recipient of service located
Act, 2017 states that claim of refund outside India
arising from an order passed by an (C) The place of supply of service is
adjudicating authority or Appellate outside India
Authority or an Appellate Tribunal or (D) The supplier of service is located
Court which is not being refunded in India
within ……..days from the date of Answer: (A) The supplier of service
receipt of an application filed located outside India
consequent to such order, interest at Question 153 Inter-State supply of
such rate not exceeding……..per service is primarily covered in……..of
annum, shall be payable in respect of the CGST Act, 2017.
such refund. (A) Section 12
(A) 30 days, 6% (B) 30 days, 9% (B) Section 14
(C) 60 days, 9% (D) 60 days, 6% (C) Section 8
Answer: (B) 30 days, 9% (D) Section 18 [June 2018]
Question 149. The advance ruling Note: MCQ is wrong. For further
means a decision provided to an clarification please see hints.
applicant on the matter or a question Answer:
specify u/ss 97(2) and 100(1) of the Question 154. Tax on inter-State
CGST Act, in relation to the supply of supplies, import into India, supplies
goods or services or both being made outside India and supplies
undertaken by the applicant. made in SEZ shall be charged to:
(A) Commissioner (Appeals) (A) CGST and SGST
(B) Authority or Appellate Authority (B) CGST and UTGST
(C) Appellate Tribunal (C) CGST and IGST
(D) Adjudicating Authority (D) IGST
Answer: (A) Commissioner (Appeals) Answer: (D) IGST
Question 150 A. Section 22 of the Question 155. The base Financial
UTGST Act, 2017 lays down the Year for the purpose of calculating
power of the Central Government to compensation amount payable to the
make rules on the recommendation of State as per Goods & Services Tax
the Council. Any rule made under sub- (Compensation to States) Act, 2017
section (1) of section 22 may provide shall be taken:
that a contravention thereof shall be (A) 2014-2015 (B) 2016-2017
liable to a maximum penalty of…….. (C) 2012-2013 (D) 2015-2016
(A) ₹ 10,000 (B) ₹ 1,000 Answer: (D) 2015-2016
(C) ₹ 5,000 (D) ₹ 2,500 Question 156. The proceeds of the
Answer: (B) ₹ 1,000 cess and such other amounts as
Question 151. For the purpose of being recommended by the GST
calculating the compensation payable Council shall be credited to a non-
to the States under the Goods and lapsable fund known as:
Services Tax (Compensation to (A) Goods and Services Tax
States) Act, 2017 the base year for Compensation Fund
reckoning the Revenue is: (B) Goods and Services Tax Cess
(A) 31.3.2014 (B) 31.3.2015 Fund
(C) 31.3.2016 (D) 31.3.2017 (C) Goods and Services Tax Welfare
Answer: (C) 31.3.2016 Fund
Question 152. Export of service does (D) None of the above
not include: Answer: (A) Goods and Services Tax
(A) The supplier of service located Compensation Fund
outside India Question 157. State the “Base Year”
and “Projected Growth Rate” for the
commerce guru cma intermediate INdirect tax

purpose of calculating the of goods or services or both by the

compensation amount payable by the Union Territory and for matters
Centre on account of revenue loss to connected therewith or incidental
the States as specified under the thereto are being enumerated in:
Goods & Services Tax (Compensation (A) CGST Act, 2017
to States) Act, 2017: (B) IGST Act, 2017
(A) Financial Year 2014-2015, @ 14% (C) UTGST Act, 2017
(B) Financial Year 2015-2016, @ 14% (D) None of the above
(C) Financial Year 2016-2017, @ 14% Answer: (C) UTGST Act, 2017
(D) Financial Year 2017-2018, @ 14% Question 163. Total proceeds of the
Answer: (B) Financial Year 2015- cess levied under section 8 of GST
2016, @ 14% (Compensation to States) Act, 2017
Question 158. The limit of nautical as per section 10 shall be credited to
miles from the baseline of sea coast a fund which is known as……… and
into the sea in order to determine the shall form part of the public account of
supply in territorial water as per India to be utilized for the purposes
Section 9 of the IGST Act, 2017 is: specified and shall be a non-lapsable
(A) Up to 7 nautical miles fund.
(B) Up to 10 nautical miles (A) GST Cess Fund
(C) Up to 12 nautical miles (B) GST Cess Compensation Fund
(D) Up to 20 nautical miles (C) GST Compensation Fund
Answer: (C) Up to 12 nautical miles (D) GST Fund
Question 159. Which of the following Answer: (C) GST Compensation Fund
called the Union territory as being
covered under the Union Territory
Goods and Services Tax Act,
(UTGST), 2017?
(A) Andaman and Nicobar Island
(B) Puducherry
(C) Delhi
(D) None of the above
Answer: (A) Andaman and Nicobar
Island
Question 160. Who is authorized
under the Integrated Goods and
Services Tax (IGST) Act, to levy tax:
(A) State (B) Centre
(C) Union Territory
(D) Both (A) and (B)
Answer: (B) Centre
Question 161. Tax on inter-State
supplies, import into India, supplies
made outside India and supplies
made in SEZ shall be charged
under………
(A) CGST&SGST
(B) CGST& UTGST
(C) CGST&IGST
(D) IGST
Answer: (D) IGST
Question 162. Provision for levy and
collection of tax on intra-State supply