Basics of Goods and Services Tax

What duties are taxes on intra-State supplies in case of Union Territories ?

(A)UTCGST and UTSGST

(B)CGST and UTGST

(C)CGST and SGST

(D)GST and UTGST

All the GST returns are to be filed online by using :

(A)GST portal

(B)Offline utilities provided by GSTN

(C)GST Suvidha providers

(D)Any of the above

Which of the following statements is not true in case of GST ?

(A)GST is a Destination based consumption tax

(B)GST ensures seamless flow of ITC

(C)GST is levied on goods and services at equal rates

(D)GST adorns dual taxation model

The Goods and Services Tax Network (GSTN), a special purpose vehicle, set up by the Government primarily to provide information technology infrastructure is a :

(A)Public Limited Company

(B)Government Company

(C)Private Limited Company

(D)Statutory Corporation

The State Jammu and Kashmir has been divided into two Union Territories namely Jammu & Kashmir and Ladakh in 2019. After the reorganisation, the Jammu and Kashmir Goods and Services Tax Act is applicable to :

(A)The Union Territory of Jammu and Kashmir

(B)The Union Territory of Ladakh

(C)The Union Territories of Jammu & Kashmir and Ladakh

(D)None of the Union Territories

What is the highest approved prescribed rate under UTGST Act, 2017 ?

(A)12%

(B)28%

(C)20%

(D)40%

................. and ............... are the two Union Territories at which UTGST Act, 2017 is not applicable ?

(A)Delhi & Puducherry

(B)Delhi & Chandigarh

(C)Puducherry & Chandigarh

(D)Andaman and Nicobar & Ladakh

The IGST (Integrated Goods and Services) Act, 2017 deals with:

(i)Inter-State Supplies

(ii)Import into India

(iii)Supplies made outside India

(A)(i) & (ii)

(B)(i) & (iii)

(C)Only (i)

(D)(i), (ii) & (iii)

GST is a tax on :

(A)Consumption

(B)Enjoyment

(C)Consumption and enjoyment

(D)Consumption and destination

What is the purpose of The Union Territory Goods and Services Tax Act, 2017 (UTGST Act) which was passed by the Parliament?

(A)To levy, collect UTGST on Intra-UT supplies and for other matters

(B)To levy, collect UTGST on Inter-UT supplies and for other matters

(C)To levy, collect UTGST on Intra- & Inter-UT supplies and for other matters

(D)To levy, collect SGST on Intra-state supplies and for other matters

GST is one of the biggest taxation reforms of Independent India being implemented with the aim of enhancing the overall growth of the Nation. It is a comprehensive ............ indirect tax levy on goods as well as services at the ...................... .

(A)Supply based; National Level

(B)Movement based; State Level

(C)Destination based; National Level

(D)Value based; State Level

India has adopted a dual model of GST where tax is charged concurrently by the Centre and the States. Therefore, for on intrastate sale, the GST as per CGST Act, 2017 is charged equally as :

(A)CGST & IGST

(B)CGST & SGST

(C)SGST & IGST

(D)Both (B) & (C)

Different countries follow different model of GST based upon their own legislative and administrative structure and their requirement. Kelkar-Shah Model is based on ______ .

(A)Canada Model wherein taxes are collected by the Centre however, two different rates of tax are to be levied by the Centre and the States

(B)Canada Model wherein taxes are collected by the Centre however, same rates of tax are to be levied by the Centre and the States

(C)Australian Model wherein taxes are collected by the Centre however, two different rates of tax are to be levied by the Centre and the States

(D)Australian Model wherein taxes are collected by the Centre however, same rates of tax are to be levied by the Centre and the States.

The highest applicable approved rate of UTGST has been prescribed at _____

(A)18%

(B)20%

(C)28%

(D)40%

What is the highest applicable approved rate prescribed under UTGST ?

(A)12%

(B)18%

(C)20%

(D)28%

To which of the following Union Territory the provisions of UTGST Act, 2017 will not apply ?

(A)Chandigarh

(B)Delhi

(C)Lakshadweep

(D)Andaman & Nicobar Islands

Which GST law would apply when goods are imported from foreign country ?

(A)CGST + SGST

(B)IGST

(C)CGST + UTGST

(D)IGST + UTGST

“-------------------------” is based on Canada Model wherein taxes are being collected by the Centre. However, it also provides that two different rates of tax are to be levied by the Centre and the States.

(A)Australian Model

(B)Dual Tax Model

(C)Kelkar - Shah Model

(D)Bagchi - Poddar Model

Goods and Services Tax Net Work (GSTN) is a Central Agency providing the whole Information Technology (IT) infrastructure to achieve the objects of tax administration under GST. In this context find which is a false statement regarding “Functioning GSTN is the IT backbone of GST” :

(A)It puts in place the IT infrastructure for the new taxation system.

(B)It enables the transition of tax payers from the multiple existing systems to a single one system.

(C)It unifies a large number of taxation systems working at different levels of administration into multiple interfaces.

(D)It establishes a uniform interface for the tax payer and a common and shared IT infrastructure between the Center and States.

When goods are sold from one place to another place, the tax liability would accrue under GST law, at :

(A)Place of dispatch

(B)Place of raising the bill

(C)Place of consumption/destination

(D)Routes in which the goods travel

Dual GST model followed in India, is mainly drawn from :

(A)Australia

(B)Canada

(C)USA

(D)France

GST is a comprehensive tax regime covering both Goods and Services and be collected on value added at each stage of the supply chain. GST is thus levied on the basis of .......................... .

(A)Consumption principle

(B)Destination principle

(C)Set-off against that payable principle

(D)Both consumption and destination base principle

Most of the countries in the world follow a uniform GST System whereas considering to the federal nature of Indian Constitution, Model of GST proposed and implemented in India from 1st July, 2017 is .............. .

(A)Unilateral Model

(B)Bilateral Model

(C)Dual Model

(D)None of the above

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

Integrated tax credit as per section 9A of UTGST Act, 2017 on account of Union Territory Tax shall be utilized towards payrnent of ........................ only after the input tax credit available on account of ....................... has first been utilized towards such payment.

(A)Integrated Tax and Union Territory Tax, Integrated Tax

(B)Union Territory Tax, Input Tax

(C)Integrated Tax or Union Territory Tax, Union Territory Tax

(D)Integrated Tax or Union Territory Tax, Integrated Tax

Which of the following called the Union territory as being covered under Union Territory Goods and Service Tax Act, (UTGST), 2017 ?

(A)Andaman and Nicobar Island

(B)Puducherry

(C)Daman and Diu

(D)None of the above

Who is authorized under Integrated Goods and Service Tax (IGST) Act, to levy tax :

(A)State

(B)Centre

(C)Union Territory

(D)Both (A) and (B)

The available balance of input tax credit in the electronic ledger of the registered person on account of Union territory tax shall be utilized as per section 9 of UTGST Act, 2017 ............

(A)first towards payment of central tax

(B)first towards payment of integrated tax

(C)first towards payment of union territory tax and the amount remaining, if any towards payment of integrated tax

(D)none of the above ***

(a)State the different models of GST and the model which is followed in India.

Which financial year is taken as base year for the purpose of calculating compensation amount payable to the states under GST (Compensation to States) Act, 2017 ?

(A)Financial Year 2014-15

(B)Financial Year 2016-17

(C)Financial Year 2015-16

(D)None of the above

As per section 10(3 ) o f t he G S T (Compensation to States) Act, 2017 ..................... of the amount remaining unutilised in the fund at the end of the transition period shall be transferred to the consolidated fund of lndia as the share of centre.

(A)50%

(B)40%

(C)30%

(D)20%

The compensation to state as per section 7(2) of GST (Compensation to States) Act 2017 shall be provisionally calculated and released at the end of every ................. period.

(A)Four Months

(B)Three Months

(C)Two Months

(D)One Month

The power to make rules is given to the Central Government in ................ of the GST (Compensation to States) Act, 2017.

(A)Section 12

(B)Section 13

(C)Section 14

(D)Section 15

The input tax credit in respect of GST compensation to States Cess on supply of goods and services shall be utilised towards the payment of :

(A)The cess only

(B)CGST only

(C)IGST only

(D)All the above

GST (Compensation to States) Act, 2017 is applicable to :

(A)Whole of India excluding Jammu & Kashmir, Union Territories of Dadra, Nagar Haveli, Daman and Diu

(B)Whole of India excluding Jammu & Kashmir

(C)Whole of India

(D)Whole of World

What is the objective behind the levy of Cess through GST (Compensation to States) Act, 2017 :

(A)To generate surplus resources to cater the welfare needs of Nation

(B)To discourage the use of Sin and Luxury Goods and Services

(C)To provide compensation to the state for loss of revenue arising due to GST

(D)To provide compensation to the centre for loss of revenue arising due to GST

What is the base year for the purpose of calculating the compensation under GST (Compensation to State) Act, 2017 ?

(A)F.Y. 2017-18

(B)F.Y. 2016-17

(C)F.Y. 2015-16

(D)F.Y. 2018-19

GST is covered under ________ legislations whereas integrated GST, Compensation cess and Central GST are being charged by ________

(A)3; Central and State Government

(B)4; Central and State Government

(C)5; Central Government

(D)5; Both Central and State Government

The projected revenue of a concerned State for the base year 2015-16 calculated as per section 5 of GST (compensation to state) Act, 2017 is ₹ 100; then the projected revenue for the financial year 2019-20 of such State as per this Act shall be equal to -------------

(A)100(1 + 14/100)2

(B)100(1 + 14/100)3

(C)100(1 + 14/100)4

(D)100(1 + 14/100)5

Total proceeds of the cess levied under section 8 of GST (Compensation to States) Act, 2017 as per section 10 shall be credited to a fund which is known as ............... and shall form part of the public account of India to be utilized for the purposes specified and shall be a non-lapsable Fund.

(A)GST Cess Fund

(B)GST Cess Compensation Fund

(C)GST Compensation Fund

(D)GST Fund

The Compensation to States for loss of revenue on account of implementation of GST is for _________ years.

(A)2

(B)5

(C)8

(D)10

A registered person of Delhi is buying and selling goods only in Delhi and Pudicherry. The applicable law for GST in his case will be :

(A)State GST

(B)UTGST Act, 2017

(C)GST (Compensation to States) Act,

(D)CGST Act, 2017

State the ‘‘Base Year’’ and ‘‘Projected Growth Rate’’ for the purpose of calculating the compensation amount payable by the Centre on account of revenue loss to the States as specified under the Goods and Services Tax (Compensation to States) Act, 2017 :

(A)Financial Year 2014-15, @ 14%

(B)Financial Year 2015-16, @ 14%

(C)Financial Year 2016-17, @ 14%

(D)Financial Year 2017-18, @ 14%

Integrated Goods and Services Tax is payable on :

(A)Interstate supply

(B)Intra state supply

(C)Both of (A) and (B)

(D)Deemed supply

Which of the following will be treated as inter-state supply?

(i)Supplier in Delhi and supplies made to USA

(ii)Goods imported by a company in Mumbai from Belgium

(iii)Supply of goods by a supplier in Kerala to Chandigarh (Union Territory) (iv) Supplies received in

Domestic Tariff Area from a SEZ unit located in Kandla

(A)(i) and (ii)

(B)(iii) and (iv)

(C)(i), (ii) and (iv)

(D)All the above

Interstate supply of services is mentioned in which section?

(A)Section 8

(B)Section 18

(C)Section 12

(D)Section 14

Section 9 of the IGST Act, 2017 defines :

(A)Levy under IGST

(B)Interstate supply

(C)Intrastate supply

(D)Supply in Territorial Waters

Import of services under the provisions of GST is to be treated as ............ and would be subject to tax which is to be charged under............

(A)Inter-state supply, IGST

(B)Intra-state supply, SGST

(C)Inter-state supply, IGST on reverse charge

(D)Intra-state supply, SGST on reverse charge

Section 9 of the IGST Act, 2017 defines :

(A)Levy under IGST

(B)Interstate Supply

(C)Intrastate Supply

(D)Supplies in Territorial Waters

As per section 5 of the IGST Act, 2017 a maximum rate of tax of --------- can be imposed on interstate supply of goods and services.

(A)28%

(B)35%

(C)40%

(D)50%

The supply of Goods/Services/both under the CGST Act, 2017 and the UTGST Act, 2017, where location of supplier and the place of supply are in the different State or in different Union Territory is known as a -----------

(A)Inter-state supply

(B)Export supply

(C)Intra-state supply

(D)Non-taxable supply

The supply of Goods/Services/both, where location of supplier and the place of supply are in the same State or same Union Territory under CGST Act, 2017 and UTGST Act, 2017 is known as a ....................... .

(A)Inter-state supply

(B)Export supply

(C)Intra-state supply

(D)Not Intra-state supply

Provision for levy and collection of tax on intra-state supply of goods or services or both by the Union Territory and for matters connected therewith or incidental thereto are being enumerated in :

(A)CGST Act, 2017

(B)IGST Act, 2017

(C)UTGST Act, 2017

(D)None of the above

The limit of nautical miles from base line of sea coast into the sea in order to determine the supply in territorial water as per section 9 of the IGST Act, 2017 is :

(A)Upto 7 nautical miles

(B)Upto 10 nautical miles

(C)Upto 12 nautical miles

(D)Upto 20 nautical miles

(c)Deterrnine which of the following is inter-State supply or intra-State supply, and state whether CGST / SGST / IGST will apply : (with reasons)

(i)Supply of goods to A & Co., Surat from a unit located in SEZ in the same State, viz. Gujarat.

(ii)Export of garments from Bengaluru to Sweden.

Advance Ruling can be sought for :

(A)Classification of any goods or services or both

(B)Determination of time and value of supply of goods or services or both

(C)Admissibility of input tax credit of tax paid or deemed to have been paid

(D)All of the above

An amount of ₹ .................. is required to be paid along with the application for Advance Ruling under Customs Act, 1962.

(A)₹ 1,000

(B)₹ 10,000

(C)₹ 5,000

(D)₹ 3,000

The time limit for pronouncing the Advance Ruling under the Customs Act is :

(A)30 days

(B)60 days

(C)90 days

(D)120 days

Advance Ruling under GST can be sought for:

(A)Determination of time and value of supply of goods or services or both

(B)Classification of any goods or services or both

(C)Admissibility of input tax credit or tax paid or deemed to have been paid

(D)All of the above

The Advance Ruling Authority shall comprise of :

(A)One member from amongst the officers of Central tax

(B)One member from amongst the officers of Union Territory tax (to be appointed by the Central Government) as the case may be

(C)Both (A) and (B)

(D)Neither (A) nor (B)

Under section 15 of UTGST Act, 2017, who is empowered to constitute Authority for Advance Ruling :

(A)Central Government

(B)State Government

(C)Union Territory Government

(D)GST Council

The Authority for Advance Ruling (AAR) must give its ruling within.................days of the application.

(A)30

(B)45

(C)90

(D)120

The Central Government shall by notificationas per section 16 the UTGST Act, 2017 constitute an Appellate Authority for Advance Ruling for Goods and Services Tax for hearing appeals against the -------------- pronounced by the -------------

(A)Advance Ruling; Advance Ruling Authority

(B)Order; Commissioner (Appeal)

(C)Order; Appellate Tribunal

(D)Ruling; Authority for Advance Ruling

Advance ruling means a decision provided by the ...................... to an applicant on the matter or a question specify u/s 97(2) and 100(1) of the CGST Act, in relation of the supply of goods or services or both being undertaken by the applicant.

(A)Commissioner (Appeals)

(B)Authority or Appellate Authority

(C)Appellate Tribunal

(D)Adjudicating Authority

The Integrated Tax, collected by the Central Government is:

(A)Retained by Central Government

(B)Given to State Government

(C)Apportioned between the Union and State Government equally

(D)Apportioned between the Union and State Government in the ratio 60: 40