Bhai ek

INDIRECT TAX : MCQ AND CASE SCENARIOS
Chapter 1 : Introduction
1. Which of the following statements is incorrect?

a) Alcoholic liquor for human consumption is outside the realm of GST
b) Manufacture/ production of alcoholic liquor is subject to State excise duty.
c) Inter- State/intra-State sale of the alcohol is subject to CST/ VAT respectively.
d) Alcoholic liquor for human consumption is subject to GST.
Ans: (d)
2. Presently, _____ is leviable on _____ of petroleum and diesel.

(i) GST; supply
(ii) Central excise duty; manufacture/production
(iii) Central sales tax; inter-State sale
(iv) Value Added Tax; intra-State sale
(v) State excise duty; manufacture
Choose the most appropriate option
a) (ii), (iii) and (iv)
b) (i)
c) (i)and (ii)
d) (ii)and (v)
Ans: (a)
3. _________ is leviable on ____ of Tobacco

(i) GST; supply
b) (i)
c) (i)and (ii)
d) (i)and (v)
Ans: (c)
4. ______ is leviable on ________ of opium and Indian hemp.

(i) GST; supply
b) (i)
c) (i)and (v)
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d) (i)and (ii)
Ans: (c)
5. Which of the following taxes is/are not subsumed in GST?

(i) Service tax
(ii) Customs duty
(iii) Luxury tax
(iv) Tax on lottery, betting and gambling
(v) Entertainment tax levied by local bodies

a) (ii)
b) (ii) and (v)
c) (i), (iii), (vi) & (v)
d) (v)
Ans: (b)
6. Alcoholic liquor for human consumption is subjected to

a) State excise duty
b) Central Sales Tax/Value Added Tax
c) Both (a) and (b)
d) GST
(MTP Oct 19, MTP Mar 19, MTP May 21 1 Mark)
Ans: (c)
7. Which of the following statements is true under GST?

a) Grand-parents are never considered as related persons to their grandson/granddaughter
b) Grand-parents are always considered as related persons to their grandson/granddaughter
c) Grand-parents are considered as related persons to their grandson/granddaughter only if they
are wholly dependent on their grandson/granddaughter
d) None of the above
(MTP 1 Mark, April 19)
Ans: (c)
8. Taxes subsumed in GST are
a) Service tax
b) Luxury tax
c) VAT
d) All of the Above
(MTP 1 Mark, March 19, May 20)
Ans: (d)
9. provides that no tax shall be levied or collected except by authority of law.
a) Article 269
b) Article 245
c) Article 265
d) Article 246
(MTP 1 Mark, Sep 23)
Ans: (c)
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10. Various taxes have been subsumed in GST to make one nation one tax one market for consumers.
Out of the following, determine which taxes have been subsumed in GST.
(i) Basic customs duty levied under Customs Act, 1962
(ii) Taxes on lotteries
(iii) Environment tax
a) (ii)
b) (ii) and (iii)
c) (iii)
d) (i), (ii) and (iii)
(RTP May 21)
Ans: (a)
11. Goods as per section 2(52) of the CGST Act, 2017 includes:
(i) Actionable claims
(ii) Growing crops attached to the land agreed to be severed before supply.
(iii) Money
(iv) Securities
a) (i) and (iii)
b) (iii) and (iv)
c) (i) and (ii)
d) (ii) and (iii)
(RTP May 21)
Ans: (c)
12 8. Miss Gyati, a jeweller registered under GST in Mumbai, wants to sell her jewellery in a Trade
Expo held in Delhi. Which of the following statements is false in his case?
(a) She needs to get registration in Delhi as casual taxable person.
(b) She needs to pay advance tax on estimated tax liability.
(c) She needs to mandatorily have a place of business in Delhi.
(d) She needs to file GSTR-1/ IFF and GSTR-3B for Delhi GSTIN for the month or quarter, as the
case may be, when she gets registered in Delhi.
Answer (c)
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Chapter 2 : Supply Under GST
1. Mr. Handsome, del-credere agent (DCA) of Charm Limited, agrees to raise invoices in his own name
and also guarantees for the realization of payments from customers to Charm Limited. In order to
realize the payments from customers on time, he extends short-term transaction-based loans to
them and charges interest for the same.
For the month of March, sale of goods by Mr. Handsome in his DCA capacity is Rs. 2,80,000 and
interest earned from the said customers for short term credit facility provided for timely payment
of dues is Rs. 20,000. Further, commission charged from Charm Limited in respect of DCA services
provided is Rs. 30,000. The value of supply of goods to customers is and value of supply of agency
services to Charm Limited is .
(a) Rs. 2,80,000; Rs. 30,000
(b) Rs. 20,000; Nil
(c) Rs. 3,00,000; Rs. 30,000
(d) Rs. 20,000; Rs. 30,000
Ans : (c)
2. Mr. Venkat hired a professional firm based in UK to receive the legal consultancy services for his
family dispute. The services received by Mr. Venkat in case such services are received by Mr.
Venkat (I) free of cost; or (II) for a consideration of US$ 1,000.
a) (I) amount to supply; (II) amount to supply
b) (I) do not amount to supply; (II) amount to supply
c) (I) amount to supply; (II) do not amount to supply
d) (I) do not amount to supply; (II) do not amount to supply
Ans: (b)
3. Which of the following activities/transactions qualify as supply of goods?

a) Dhruvtara Electronics supplies washing machines to its customers.
b) Bigbang Steels Ltd. supplies a machinery on rent to Jigayasa Manufacturers.
c) Larsen Technicians retreads the tyre given by Deendayal Automobiles on job work basis.
d) Vigyaan Technologies develops a customised software for a business school.
Ans: (a)
4. Which of the following activities are considered neither as supply of goods nor supply of services?
a) Inter-State movement of trucks between distinct persons for repairs and maintenance
b) Grant of mining rights by the Governments to businesses.
c) Services provided by an employer to the employee.
d) Lottery
Ans: (a)
5. Jaskaran supplies gift packages at Rs. 30 each to its customers. Each package consists of 2
chocolates, 2 fruit juice bottles and a packet of toy balloons. Rates of GST applicable on chocolates,
fruit juice bottles and toy balloons are 18%, 12% and 5% respectively. Jaskaran is liable to pay GST
@ .
a) 18%, 12%and 5% separately on value of supply of chocolates, fruit juice bottles and toy balloons
respectively
b) 18% on the price charged for the gift package
c) 12% on the price charged for the gift package
d) 5% on the price charged for the gift package
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Ans: (b)
6. Which of the following is not a supply of services?

(a) Renting of Commercial Office Complex
(b) Payment of Non-Compete Fee by an ex-employee to his previous employer
(c) Repairing of Mobile Phone
(d) Permanent transfer of business assets on which ITC is availed
(MTP 1Marks, Oct 19)
Ans: (d)
7. Which of the following services received without consideration amount to supply?

(1) Import of services by a person in India from his son well-settled in USA
(2) Import of services by a person in India from his brother well-settled in Germany
(3) Import of services by a person in India from his brother (wholly dependent on such person in
India) in France
(4) Import of services by a person in India from his daughter (wholly dependent on such person in
India) in Russia
(a) 1), 3) and 4)
(b) 2), 3) and 4)
(c) 2) and 3)
(d) 1) and 2)
(MTP 2 Marks, March 19)
Ans : (a)
8. Determine which of the following independent transactions even if made without consideration in
terms of Schedule I of the CGST Act, 2017, will be deemed as supply?
(i) AB & Associates transfers stock of goods from its Mumbai branch to Kolkata depot for sale of
such goods at the depot.
(ii) Mr. Raghuveer, a dealer of air-conditioners permanently transfers the motor vehicle free of
cost. ITC on said motor vehicle was blocked and therefore, was not availed.
(iii) Mrs. Riddhi, an employee of Sun Ltd., received gift from her employer on the occasion of Diwali
worth ₹ 21,000.
(a) (i)
(b) (ii)
(c) (iii)
(d) Both (i)and (ii)
(MTP 2 Marks March 23)
Ans: (a)
9. M.H. Husain, a famous painter, Delhi, sends his latest art work to Indian Classic gallery, Delhi, for
exhibition. However, no consideration has flown from Indian Classic gallery to M. H. Husain when the
art work is sent to the gallery for exhibition. M. H. Husain is in dilemma whether GST is payable on
said transfer of art work. What would be your advice on the same?
(a) GST is payable as the same amounts to taxable supply of goods.
(b) GST is payable as the same amounts to taxable supply of services.
(c) GST is not payable as the same is an exempt supply.
(d) GST is not payable as the same does not amount to supply at all.
(RTP May 19)
Ans: (d)
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10. ABC Ltd. is a registered pharmaceutical company. The company invented one drug for instant cure
of cancer. They supplied free samples of this medicine to various doctors. What will be the tax
treatment of these free samples under GST?
(a) ABC Ltd. is liable to pay tax on supply of free samples and eligible to claim input tax credit.
(b) ABC Ltd. is not liable to pay tax on supply of free samples but eligible to claim input tax credit.
(c) ABC Ltd. is neither liable to pay tax on supply of free samples nor eligible to claim input tax
credit.
(d) ABC Ltd. is liable to pay tax on supply of free samples but not eligible to claim input tax credit.
(RTP Nov 19)
Ans: (c)
11. Which of the following is not covered under Schedule III of CGST Act, 2017?
(a) DirectorÕs monthly salary under employment agreement
(b) Sitting fees to independent directors for attending AGMs
(c) Payment to employee for providing broking services to the employer for purchase of commercial
property. Such services do not form part of the employment contract entered into by the
employer with the employee.
(d) Both (b) and (c) .
(RTP Nov 19)
Ans: (d)
12. Mr. Arun, a registered supplier, is engaged in selling sweets. The sweets are sold in boxes and the
cost of each sweet box is ₹ 500/-. In order to increase his turnover, he purchased certain juice cans
@ ₹ 20/- each and added juice can with every sweet box as a gift. A sweet box along with free juice
can is sold at ₹500/- each.
Which of the statements is correct?
(a) He is liable to pay tax on ₹520/- and eligible to claim input tax credit on purchase of juice cans
(b) He is liable to pay tax on ₹500/- and not eligible to claim input tax credit on purchase of juice
cans
(c) He is liable to pay tax on ₹500/- and also eligible to claim input tax credit on purchase of juice
cans
(d) Either (a) or (b)
(RTP May 20)
Ans: (c)
13. Which is not considered as supply under GST Law?

i. Date of completion certificate - 31/01/20XX
ii. Date of agreement with buyer - 01/02/20XX
iii. Consideration received - 05/02/20XX
(a) Stock transferred from one establishment in Delhi to another establishment in Gurgaon,
Haryana registered under same PAN.
(b) CA Ram supplies accounting services to CA Radha in lieu of taxation services received from CA
Radha.
(c) A Health club supplies lunch to its members at its annual meeting against a nominal charge.
(d) Mr. A sells a flat to Mr. B
(RTP May 20)
Ans: (d)
14. Which of the following activity shall be treated neither as a supply of goods nor a supply of services?
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(i) Permanent transfer of business assets where input tax credit has been availed on such assets
(ii)temporary transfer of intellectual property right
(iii)
transportation of deceased
(iv)services by an employee to the employer in the course of employment
(a) (i) & (iii)
(b) (ii) & (iv)
(c) (i) & (ii)
(d) (iii) & (iv)
(RTP May 20)
Ans: (d)
15. Sahil, a resident of Delhi, is having a residential property in Vasant Vihar, Delhi which has been given
on rent to a family for ₹ 50 lakh per annum. Determine whether Sahil is liable to pay GST on such
rent.
(a) Yes, as services by way of renting is taxable supply under GST.
(b) No, service by way of renting of residential property is exempt.
(c) No, service by way of renting of residential property does not constitute supply.
(d) Sahil, being individual, is not liable to pay GST.
(RTP May 21)
Ans: (b)
As per amendment renting of residential dwelling to a registered person is taxable under RCM.
16. Determine which of the following independent cases will be deemed as supply even if made without
consideration in terms of Schedule I of the CGST Act, 2017?
(i) AB & Associates transfers stock of goods from its Mumbai branch to Kolkata depot for sale of
such goods at the depot.
(ii) Mr. Raghuveer, a dealer of air-conditioners permanently transfers the motor vehicle free of
cost. ITC on said motor vehicle is blocked.
(iii) Mrs. Riddhi, an employee of Sun Ltd., received gift from her employer on the occasion of Diwali
worth ₹ 21,000.
(a) (i)
(b) (ii)
(c) (iii)
(d) Both (i) and (ii)
(RTP Nov 21)
Ans: (a)
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Chapter 3 : Charge of GST
1. Sudhakar Enterprises has undertaken an intra-State supply of taxable goods. CGST and UTGST will
be payable on said supply provided the supply is made within ___
(a) Delhi
(b) Puducherry
(c) Ladakh
(d) Jammu & Kashmir
Ans (c)
2 Sindhu Transporters, an unregistered Goods Transport Agency, provides the services of

transportation of goods by road to Bindusaar Manufacturers, registered under GST. GST is payable
by ______ @________ , in the given case.
(a) Sindhu Transporters; 5%
(b) Sindhu Transporters; 12%
(c) Bindusaar Manufacturers; 5%
(d) Bindusaar Manufacturers; 12%
Ans (c)
3 Nilanchal Chamber of Commerce organized a business summit. Safal Private Limited, a manufacturer
of readymade garments, sponsored the summit and paid a sponsorship fee of Rs. 1,20,000 to
Nilanchal Chamber of Commerce. Mr. Godbole, an independent director of Safal Private Limited,
provided the services worth Rs. 50,000 to the company. The value on which Safal Private Limited is
liable to pay GST is___ .
(a) Rs. 1,20,000
(b) Rs. 1,70,000
(c) Rs. 50,000
(d) Nil
Ans (b)
4 A registered person is not eligible for composition scheme even though his aggregate turnover
does not exceed Rs. 1.5 crore in preceding FY.
(a) trading in pan masala
(b) manufacturing aerated waters
(c) receiving any inter-State inward supplies of goods
(d) Making supply of goods exempted by way of the notification
Ans (b)
5 Alladin Electronics is engaged in intra-State supply of air- conditioners and has an aggregate
turnover of Rs. 90 lakh in the preceding financial year. In the current financial year, it wishes to opt
for composition scheme under section 10(1) and 10(2). It will start providing services of repairing of
air conditioners also from 1st April of current financial year. Alladin Electronics can provide services
upto the value of to continue availing benefit of composition levy, in the current financial year.
(a) Rs. 5 Lakh
(b) Rs.4.5 Lakh
(c) Rs. 10 Lakh
(d) Rs. 9 lakh
Ans (b)
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6 Which of the following is not eligible for opting composition scheme under GST?
(a) M/s ABC, a firm selling garments having annual turnover of Rs. 78 lakhs.
(b) A startup company operating restaurant in Delhi having an annual turnover of Rs. 98 lakhs.
(c) A courier service company operating solely in Mumbai having annual turnover of Rs. 90 lakhs.
(d) A trader selling grocery items having an annual turnover of Rs. 95 lakhs.
(MTP 1Marks,Oct 19)
Ans: (c)
7 Can a registered person opting for composition scheme collect GST on his outward supplies?
(a) Yes, in all cases
(b) Yes, only on such goods as may be notified by the Central Government
(c) Yes, only on such services as may be notified by the Central Government
(d) No
Ans: (d)
8 Rama Ltd. has provided following information for the month of September:
(i) Intra-State outward supply Rs. 8,00,000/-
(ii) Inter-State exempt outward supply Rs. 5,00,000/-
(iii) Turnover of exported goods Rs. 10,00,000/-
(iv) Payment made for availing GTA services Rs. 80,000/- Calculate the aggregate turnover of
Rama Ltd.
(a) Rs. 8,00,000/-
(b) Rs. 23,80,000/-
(c) Rs. 23,00,000/-
(d) Rs. 18,00,000/-)
(MTP 2 Marks, MarchÕ19)
Ans : (c)
9 Which of the following persons is not eligible for composition scheme even though their aggregate
turnover does not exceed Rs? 1 crore in preceding FY, in Uttar Pradesh?
(a) A person supplying restaurant services
(b) A person supplying restaurant services and earning bank interest
(c) A person supplying restaurant services and warehousing of rice
(d) A person supplying restaurant services and warehousing of processed tea.
(MTP 1 Marks, March 19)
Ans: (d)
10 GST is payable by recipient of services in the following cases: -

(i) Services provided by way of sponsorship to ABC Ltd.
(ii) Services supplied by a director of Galaxy Ltd. to Mr. Krishna.
(iii) Services by Department of Posts by way of speed post to MNO Ltd.
(iv) Services supplied by a recovering agent to SNSP Bank
(a) (I) & (iii)
(b) (I) & (iv)
(c) (ii) & (iii)
(d) (ii) & (iv)
(MTP 2 Marks, Oct 19)
Ans : (b)
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As per amendment Services by Department of Posts by way of speed post has been removed from
exemptions and will now have GST applicable on RCM basis by the recipient of services)
Hence as per this amendment the answer can be (a) as well. Hence the GST is payable by recipient
of services for (i), (iii) & (iv).
11 Rama Ltd. has provided following information for the month of September: Intra-State outward
supply Rs. 8,00,000
Inter-State exempt outward supply Rs.5,00,000 Turnover of exported goodsRs. 10,00,000
Payment made for availing GTA services Rs. 80,000
Calculate the aggregate turnover of Rama Ltd.
(a) Rs. 8,00,000
(b) Rs. 23,80,000
(c) Rs. 23,00,000
(d) Rs. 18,00,000
(MTP 2 Marks, Nov 21)
Ans: (c)
12 Which of the following services are notified under section 9(3) of CGST Act, 2017 or section 5(3)
of IGST Act, 2017 the tax on which shall be paid on reverse charge basis by the recipient of such
supply:
(i) Supply of security services provided by a person other than a body corporate to a
composition taxpayer
(ii) Services supplied by an insurance agent to insurance company located in taxable territory
(iii) Supply of services by way of renting of hotel accommodation through e-commerce operator.
(iv) Supply of notified categories of goods or services or both by a supplier, who is not
registered, to specified class of registered persons.
Choose from the following options:
(a) (i) & (ii)
(b) Only (ii)
(c) (i), (ii), (iii)
(d) (i) & (iv)
(RTP May 20)
Ans: (b)
13 C & Co., a registered supplier in Delhi, opted for composition levy under sub-sections (1) and (2) of
section 10 of the CGST Act, 2017. It sold goods in the fourth quarter of a financial year for Rs.
15,00,000 (exclusive of GST). The applicable GST rate on these goods is 12%. C & Co. purchased
goods from Ramesh & Co., registered in Delhi, for Rs. 9,55,000 on which Ramesh & Co. had charged
CGST of Rs. 57,300 and SGST of Rs. 57,300. C & Co. had also purchased goods from E & Co.,
registered in Haryana, for Rs. 2,46,000 on which E & Co. had charged IGST of Rs. 29,520. GST
liability of C & Co. for the fourth quarter of the financial year is-
(a) CGST Rs. 7,500 & SGST Rs. 7,500
(b) CGST Rs. 3,180 & SGST Rs. 32,700
(c) CGST Rs. 32,700 & SGST Rs. 3,180
(d) Nil
(RTP Nov 20)
Ans: (a)
14 XX, registered in Delhi, purchased books from PC Traders, registered in Uttar Pradesh. Books are
exempt from GST. XX arranged the transport of these books from a goods transport agency (GTA)
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which charged a freight of Rs. 9,000 for the same. GST is payable @ 5% on such GTA services.
Which of the following statement is correct in the given context:
(a) GST of Rs. 450 is payable by XX on revere charge basis.
(b) Supply of goods and supply of GTA service is a composite supply wherein supply of goods is
the principal supply and since principal supply is an exempt supply, no tax is payable on
freight.
(c) Since exempt goods are being transported, service provided by GTA for transporting the
same is also exempt.
(d) GST of Rs. 450 is payable by the GTA.
(RTP Nov 20)
Ans: (a)
15 Mr. Dev Anand is engaged in providing services of facilitating sale and purchase of securities to
various clients. He is also engaged in trading of securities. His turnover details are as follows:
Trading of securities Rs. 40,00,000/-
Brokerage on account of facilitating transactions in securities Rs. 30,00,000/-
You are required to ascertain aggregate turnover of Mr. Dev Anand under GST:
(a) Rs. 30,00,000/-
(b) Rs. 40,00,000/-
(c) Rs. 70,00,000/-
(d) NIL.
(RTP May 20)
Ans: (a)
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Chapter 4 : Place of Supply
1. Tolaram Ltd. (a supplier registered in Uttar Pradesh having principal place of business at Noida) asks
Bholaram Ltd. of Ahmedabad, Gujarat to deliver 50 washing machines to its buyer Jholaram Ltd. at
Jaipur, Rajasthan. The place of supply of supply between Tolaram Ltd. and Jholaram Ltd. is ____
and place of supply of supply between Bholaram Ltd. and Tolaram Ltd. is _____ .
(a) Rajasthan; Uttar Pradesh
(b) Rajasthan; Gujarat;
(c) Uttar Pradesh ; Rajasthan;
(d) Rajasthan; Gujarat
ANS (a)
2. Brijraj is on a business trip for 5 days where he has to stay for 3 days in Mumbai (Maharashtra) and
2 days in Ahmedabad (Gujarat). He stays in the hotels of Royal Group of Hotels for which a
consolidated sum of Rs. 50,000/- was charged by the hotel for stay in its two establishments in
Mumbai and Ahmedabad for 3 nights and 2 nights respectively. The place of supply in this case is in
.
(a) Maharashtra and Gujarat both and the service shall be deemed to have been provided in
Maharashtra and Gujarat in the ratio 3:2 respectively.
(b) Maharashtra as his stay was longer in Mumbai.
(c) Maharashtra and Gujarat both and the service shall be deemed to have been provided in
Maharashtra and Gujarat in the ratio 1:1 respectively.
(d) Gujarat
ANS (a)
3. DEO Consultants (Kolkata) impart GST training to accounts and finance personnel of Sun Cements
Ltd., Guwahati, Assam (registered office) at the companyÕs Mumbai (Maharashtra) office which is
also registered under GST. The contract is entered with Guwahati office. In the given case, place
of supply is ____.
(a) Kolkata
(b) Assam
(c) Maharashtra
(d) Either Assam or Maharashtra at the option of Sun Cements Ltd.
ANS (b)
4. Grand Wedding Planners (Chennai) is hired by Laddoo Singh (unregistered person based in
Hyderabad) to plan and organise his wedding. The place of supply is (i) ________if wedding is to be
held at New Delhi, or (ii) _______if wedding is to be held in Seychelles.
(a) New Delhi; Hyderabad
(b) New Delhi; Seychelles
(c) Chennai; Seychelles
(d) Chennai; Hyderabad
ANS (a)
5. M/s. Buildwell Engineering Consultants, located and registered in Gurugram, Haryana provided
consultancy services to M/s. Taj India Ltd., (located and registered in Mumbai, Maharashtra) for its
hotel to be constructed on land situated in Dubai.
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Determine the place of supply of consultancy services provided by M/s. Buildwell Engineering
Consultants to M/s. Taj India Ltd.:
(a) Gurugram, Haryana
(b) Mumbai, Maharashtra
(c) Dubai
(d) None of the above
Ans: (b)
6. Mr. Salman Khan, a resident of Mumbai, has booked a Videocon D2H connection at his other home in
Delhi. His friend Shah Rukh Khan, is resident of Kerala, paid the charges for SalmanÕs D2H
connection in Delhi at the time of actual installation. Mr. Shah Rukh Khan went to Kolkata after
making the payment. Both Salman Khan and Shah Rukh Khan are not registered in GST.
Determine the place of supply of D2H service provided by Videocon to Mr. Salman Khan:
(a) Mumbai
(b) Kerala
(c) Delhi
(d) Kolkata
(MTP 2 Marks April 19)
Ans: (c)
7. Aflatoon Spares (P) Ltd., located and registered in Haryana, supplied spare parts (FOB basis) to
Mr. Laxmi Khurana, an unregistered person, located in Rajasthan. Mr. Laxmi Khurana booked the
courier himself with Black Dart Courier (P) Ltd., registered in Delhi for delivery in Rajasthan. Black
Dart Courier (P) Ltd. picked up the goods from Haryana and delivered the courier in Rajasthan
while passing through the State of Uttar Pradesh.
Determine the place of supply of service provided by Black Dart Courier (P) Ltd. to Mr. Laxmi
Khurana:
(a) Haryana
(b) Delhi
(c) Rajasthan
(d) Uttar Pradesh
(MTP 1 Mark Oct 19)
Ans: (a)
8. M/s Fair Engineering Consultants, located and registered under GST in Gurugram, Haryana,
provided architectural services to Mahal India Ltd., located and registered under GST in Mumbai,
Maharashtra, for its hotel to be constructed on land situated in Dubai. Determine the place of
supply of architectural services provided by M/s Fair Engineering Consultants to Mahal India Ltd.:
(a) Gurugram, Haryana
(b) Mumbai, Maharashtra
(c) Dubai
(d) Either Maharashtra or Dubai, at the option of the recipient
(MTP 1 Mark March 22)
Ans : (b)
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9. Lucky Singh, a resident of Noida, U.P., went to Himachal Pradesh for a family vacation via Delhi-
Chandigarh-Himachal Pradesh in his own car. After entering Chandigarh, his car broke down due to
some technical issue. He called ‘ONROARDSÕ - an emergency roadside car assistance company
(registered Under GST in Delhi) to repair the car. The car was repaired by the staff of
‘ONROARDSÕ. The value of supply amounted to Rs. 50,000 (being labour charges Rs. 40,000 and
spares Rs. 10,000). The bill was supposed to be generated online though the server, but due to some
technical issue, it was not so generated.
Determine the place of supply in the given case.
(a) Delhi
(a) Chandigarh
(b) Noida, U.P
(c) Himachal Pradesh
(RTP May 20)
Ans: (a)
10 ‘PihuÕ Ltd. has its registered office, under the Companies Act, 2013, in the State of Maharashtra
from where it ordinarily carries on its business of taxable goods. It also has a warehouse in the
State of Telangana for storing said goods. What will be the place of business of ‘PihuÕ Ltd. under the
GST law?
(a) Telangana
(b) Maharashtra
(c) Both (a) and (b)
(d) Neither (a) nor (b)
(MTP March 24)
Answer (c)
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Chapter 5 : Exemptions from GST
1. ABC Trust, a charitable trust registered under section 12AB of the Income-tax Act, is registered
under GST in Rajasthan. It provided coaching for cricket to teenagers, yoga training to middle-aged
people and skill development services to persons over the age of 65 years residing in a metro city, in
the month of June. ABC Trust is liable to pay GST on:
(a) Skill development services and yoga training
(b) Skill development services
(c) Coaching for cricket, Yoga training and skill development services
(d) Coaching for cricket and Yoga training
ANS (b)
2. Which of the following services relating to agriculture are not exempt from GST?
(a) Loading , unloading , packing, storage and warehousing of rice
(b) Milling of paddy into rice
(c) Agricultural extension services
(d) Renting of Agro machinery
ANS (b)
3. Which of the following educational services are not exempt from GST?
(a) JEE Mains entrance exam conducted by National Testing Agency
(b) Long duration program (2 years) conducted by Indian Institutes of Management
(c) Coaching for preparation of UPSC entrance examination provided by perfect coaching classes.
(d) Catering services provided to Little Angels Public School
ANS (c)
4. Which of the following services provided by Healthy Wealthy Nursing Home are not exempt from GST?
(a) Renting of rooms with per day charges of ₹6000 to in patients.
(b) Food supplied to in patients.
(c) Healing of patients through naturopathy
(d) Services provided in Intensive Care Unit for which ₹12000 are charged per day.
ANS (a)
5. Which of the following services are not exempt from GST?

(a) Services of transportation of employees air conditioned van for pick up an drop over pre-
determined rout on a pre-determined schedule.
(b) Transportation of passenger by railways in sleeper class.
(c) Transportation of passenger in autorickshaw
(d) Transportation of passenger by air, economy class from Delhi to Manipur.
ANS (a)
6. Which of the following servies provided by Sundar Transporters, a GTA, are not exempt from GST?
(a) Transport of organic manure to Agro Brothers Ltd.
(b) Transportation of household items provided to Mrs. Riddhima (unregistered).
(c) Transportation of goods provide to Malhotra & Malhotra Co. – a unregistered partnership firm.
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(d) Transportation of goods provided to Municipal Corporation of Delhi.

ANS (c)
7. Which of the following amounts received by Sindhbad Bank are not exempt from GST?
(a) Cheque discounting charges received
(b) Interest on overdraft Facility
(c) Charges for late payment of outstanding dues on credit Card
(d) Interest received on housing loan
ANS (c)
8. Which of the following services are liable to GST?

(a) Services provided by business correspondent to a banking company with respect to accounts in its
urban area branch.
(b) Legal services provided by senior advocate to an unregistered business entity
(c) Services provided by a banking company to Basic Saving Bank A/c under PM Jan Dhan Yojana.
(d) Services by way of collection of contribution under Atal Pension Yojana
ANS (a)
9. Which of the following services are not exempt from GST?

(a) Services by way of admission to a museum
(b) Right to admission to a circus where the ticket cost is ₹550 person.
(c) Classical music performance by a singer where consideration charged is ₹1,45,000.
(d) Sponsorship of sporting events organized under Panchayat Yuva Kreeda Aur Khel bhiyaan Scheme
ANS (b)
10. Which of the following services are exempt from GST?

(a) Services to a foreign diplomatic mission located in India
(b) Services by an organiser to any person in respect of a business exhibition held in India
(c) Services by way of transfer of a going concern
(d) Services provided by RBI
ANS (c)
11. An exempt supply includes-

(i) Supply of goods or services or both which attracts Nil rate of tax
(ii) Non-taxable supply
(iii) Supply of goods or services or both which are wholly exempt from tax under section 11 of the
CGST Act or under section 6 of IGST Act
(a) (I)
(b) (I) and (ii)
(c) (ii) and (iii)
(d) (I), (ii) and (iii)
(MTP 2 Marks, April 21, Oct 19, Sep 23)
Ans: (d)
12. Which of the following services are exempt under GST?

(i) testing of agricultural produce
(ii) supply of farm labour
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(iii) warehousing of agricultural produce

(a) (i)
(b) (i) and (ii)
(c) (ii) and (iii)
(d) (i), (ii) and (iii)
Ans: (d)
13. Which of the following services is exempt under health care services provided by clinical
establishments?
(a) Chemist shop in the hospital selling medicines to public at large
(b) Food supplied from an outsourced canteen to in-patients as per diet prescribed by the hospital
dietitian
(c) Advertisement services provided by the hospital to a pharmaceutical company for their asthma
pump by displaying it prominently in the hospital building
(d) All of the above
(MTP 1 Mark, Oct 19)
Ans: (b)
14. Services by way of warehousing of&&&.is exempt from GST.

(i) processed tea
(ii) jaggery
(iii) processed coffee
(iv) rice
(a) (I) & (ii)
(b) (iii)
(c) (iv)
(d) all of the above
Ans: (c)
15. Which of the following services are exempt from GST?
(a) Services by an artist by way of a performance in folk or classical art forms of painting/sculpture
making etc. with consideration therefor not exceeding Rs. 1.5 lakh.
(b) Services by an artist by way of a performance in modern art forms of music/ dance/ theatre
with consideration therefor not exceeding Rs. 1.5 lakh.
(c) Services by an artist by way of a performance in folk or classical art forms of music/
dance/theatre with consideration therefor exceeding Rs. 1.5 lakh.
(d) Services by an artist by way of a performance in folk or classical art forms of music/ dance /
theatre with consideration therefor not exceeding Rs. 1.5 lakh.
Ans: (c)
16. Services by way of admission to are exempt from GST.

(a) Museum
(b) National park
(c) Tiger reserve
(d) All of the above)
(MTP 1Marks, March 19)
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Ans : (d)
17. Transport of by rail are exempt from GST:

(a) Milk
(b) Salt
(c) Defense equipmentÕs
(d) All of the above
(MTP 1Marks, March 19)
Ans: (d)
18. Which of the following services is exempt from GST?

(a) Bollywood dance performance by a film actor in a film and consideration charged is ₹ 1,45,000.
(b) Carnatic music performance by a classical singer to promote a brand of readymade garments and
consideration charged is ₹ 1,30,000.
(c) Carnatic music performance by a classical singer in a music concert and consideration charged is
₹ 1,55,000.
(d) Kathak dance performance by a classical dancer in a cultural programme and consideration charged
is ₹ 1,45,000.
(RTP May 19)
Ans: (d)
19. Kala Niketan School is an educational institution providing pre-school education and education up to
higher secondary school. Which of the following services are exempt if provided to Kala Niketan
School?
(i) Transportation of students, faculty and staff
(ii) Catering services
(iii) Cleaning services performed in such educational institution
(a) (i)
(b) (i) and (iii)
(c) (ii) and (iii)
(RTP Nov 19)
Ans: (d)
20. Which of the following service is not exempt under GST?

(a) Loading and unloading of paddy
(b) Loading and unloading of sugarcane
(c) Loading and unloading of tea bags
(d) Loading and unloading of potato.
(RTP Nov 19)
Ans: (c)
21 Simmo Singh, a resident of Punjab, is having a residential property in Amritsar, Punjab which has been
given on rent to a family for Rs 72 lakh per annum for residence purposes. Determine whether Simmo
Singh is liable to pay GST on such rent.
(a) Yes, as services by way of renting is taxable supply under GST.
(b) No, service by way of renting of residential property is exempt.
(c) No, service by way of renting of residential property does not constitute supply.
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(d) Simmo Singh, being individual, is not liable to pay GST.

Answer (b)
Chapter 6 : Time of Supply
rd
1. Bajrang Pvt. Ltd. agreed to supply goods to Bhagirathi Pvt. Ltd. for Rs. 1,50,000 on 23 June. Next
day, it removed the goods from its factory and issued the invoice on 25th June. Payment for the goods
is made by Bhagirathi Pvt. Ltd. on 15th July.
The time of supply of goods is .
(a) 23rd June
(b) 24th June
(c) 25th June
(d) 15th July
ANS (b)
2. Hanuman Pvt. Ltd. agreed to supply toys to Ganga Pvt. Ltd. for Rs. 1,50,000 on 23rd June and received
an advance of Rs. 1,00,000 on the same day. Next day, it removed the toys from its factory and issued
the invoice on 25th June. Balance payment of Rs. 50,000 was made by Ganga Pvt. Ltd. on 15th July.
The time of supply of the advance of Rs. 1,00,000 and balance payment ofRs. 50,000 shall be_____
and ______ .
(a) 23rd June; 15th July
(b) 24th June ; 24th June ;
(c) 25th June; 25th June
(d) 15th July; (d) 15th July
ANS (b)
3. Determine the time of supply of goods with the help of the information provided below:
May 11 Supplier – Dhriti Enterprises – issues invoice for the goods taxable on reverse charge
basis to Parminder Constructions Ltd.
May 12 Parminder Constructions Ltd. receives the goods
May 30 Parminder Constructions Ltd. issues a cheque and records payment in its books of accounts
May 31 Payment is debited from the bank account of Parminder Constructions Ltd.
June 1 Payment is credited in bank account of Dhriti Enterprises
June 2 Payment is recorded in the books of Dhriti Enterprises
(a) May 12
(b) May 30
(c) June 11
(d) June 1
ANS (a)
4. Determine time of supply of services and date of receipt of payment with the help of the information
provided below:
May 4 Supplier – Dhriti Enterprises – provides services taxable under forward charge
to Parminder Constructions Ltd.
May 12 Parminder Constructions Ltd. issues invoice for the service
May 30 Parminder Constructions Ltd. issues a cheque and records payment in its books
of accounts
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May 31 Payment is debited from bank account of Parminder Constructions Ltd.

June 1 Payment is credited in the bank account of Dhriti Enterprises
June 2 Payment is recorded in the books of Dhriti Enterprises
(a) May 12; June 1
(b) May 30; May 30
(c) May 4; June 2
(d) May 31; June 2
ANS (a)
5. Style Saloon Ltd. provides vouchers worth Rs. 1,000 valid for a period of 6 months to the customers
who availed the services exceeding Rs. 10,000 in any month. The customers can redeem such vouchers
for the hair styling services taken from Style Saloon Ltd. Mr. Dwarka availed services worth Rs. 12,000
on 3rd June from the saloon and is issued a voucher of Rs. 1,000 on 5 th June. He redeems the voucher
on 4th September for hair styling services from Style Saloon Ltd. The time of supply of voucher issued
to Mr. Dwarka is _______ .
(a) 3rd June
(b) 5th June
(c) 4th September
(d) 5th December
ANS (b)
6. Ms. Pearl is a classical singer. She wants to organize a classical singing function, so she booked an
auditorium on 10th August for a total amount of Rs. 20,000. She paid Rs. 5,000 as advance on that
day. The classical singing function was organized on 10th October. The auditorium owner issued invoice
to Ms. Pearl on 25th November amounting to Rs. 20,000. Pearl made balance payment of Rs. 15,000 on
30th November. Determine the time of supply in this case.
(a) Time of supply is 25th November for Rs. 20,000.
(b) Time of supply is 25th November for Rs. 5,000 & 30th November for Rs. 15,000.
(c) Time of supply is 10th August for Rs. 5,000 & 10th October for Rs. 15,000.
(d) Time of supply is 10th October for Rs. 20,000.
Ans: (c)
7. Mr. Rahu is receiving legal services from a lawyer Mr. Ketu. The information
regarding date of payment, invoice etc. is as follows-
Invoice issued by Mr. Ketu on 15-Apr-20XX
Payment received by Mr. Ketu on 5-May-20XX
Date of payment entered in books of accounts of Rahu: 1-May-20XX What is time of supply of goods?
(a) 1-May-20XX
(b) 5-May-20XX
(c) 14-Jun-20XX
(d) 15-Apr-20XX
(MTP 2 Marks, April 19)
Ans: (d)
8. Where the goods being sent or taken on approval for sale or return are
removed before the supply takes place, the invoice shall be issued:
(a) before/at the time of supply.
(b) 6 months from the date of removal.
(c) Earlier of (a) or (b).
(d) Later of (a) or (b).
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Ans: (a)
9. The time of supply of service in case of reverse charge mechanism is

(a) Date on which payment is made to the supplier
(b) Date immediately following 60 days from the date of issue of invoice
(c) Date of invoice
(d) Earlier of (a) and (b)
(MTP 1Marks, March919)
Ans: (d)
10. M/s. Ramchandra Associates has received some taxable services from Mohan Dalal (P) Ltd. on
12.01.20XX by making a cash payment of Rs. 5,00,000 on same day. The payment was entered in the
books of account of M/s. Ramchandra Associates on 16.01.20XX and in the books of account of Mohan
Dalal (P) Ltd. on 20.01.20XX. The invoice was issued by Mohan Dalal (P) Ltd. on 18.01.20XX. Determine
the time of supply in the given case.
(a) 12.01.20XX
(b) 16.01.20XX
(c) 18.01.20XX
(d) 20.01.20XX
(RTP May 19)
Ans: (c)
11. Mr. Avishkar is a painter registered under GST in Delhi. He sends his artwork for exhibition in Mumbai.
At what point of time, supply is considered to have been made under GST?
(a) When painting is completed.
(b) When painting is sent for exhibition in Mumbai.
(c) When painting is displayed at the exhibition in Mumbai.
(d) When painting is purchased by one of the visitors in the exhibition.
(RTP Nov 19)
Ans: (d)
12. Ms. Pearl is a classical singer. She wants to organize a classical singing function, so she booked an
auditorium on 10th August for a total amount of Rs. 20,000. She paid Rs. 5,000 as advance on that
day. The classical singing function was organized on 10th October. The auditorium owner issued invoice
to Ms. Pearl on 25th November amounting to Rs. 20,000. Pearl made balance payment of Rs. 15,000/-
on 30th November. Determine the time of supply in this case.
(a) Time of supply is 25th November for Rs. 20,000.
(b) Time of supply is 25th November for Rs. 5,000 & 30th November for Rs. 15,000.
(c) Time of supply is 10th August for Rs. 5,000 & 10th October for Rs. 15,000.
(d) Time of supply is 10th October for Rs. 20,000.
(RTP Nov 21)
Ans: (c)
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Chapter 7 : Value of Supply

1. Yogrishi rents out a commercial building owned by him in Sanskriti Society, Noida, U.P. to Bhaarat
for a monthly rent of Rs. 1,00,000. He pays municipal tax of Rs. 20,000 which he has not recovered
from Bhaarat. Yogrishi also pays the maintenance charges of Rs. 5,000 (reimbursed to him by
Bhaarat) for the month as charged by the Society. The value of supply for the month of January
is ………... All the amounts given hereunder are exclusive of GST.
(a) Rs. 1,00,000
(b) Rs. 1,20,000
(c) Rs. 1,25,000
(d) Rs. 1,05,000
ANS (c)
2. Sapiant Ltd., registered under GST, supplies machinery used for making bottle caps to Chandra
Ltd. at a price of Rs. 42,00,000 (excluding all taxes and other expenses). Apart from the price of
the machinery, Sapiant Ltd. charges from the customer the associated handling and loading
charges of Rs. 10,000 and installation and commissioning charges of Rs. 1,00,000. The value of
supply of machinery is _______ .
(a) Rs. 42,00,000
(b) Rs. 43,10,000
(c) Rs. 43,00,000
(d) Rs. 42,10,000
ANS (b)
3. Bhoora Ltd., a registered supplier in Surat, Gujarat sold goods to Kaala Ltd. of Delhi on 6th April
for Rs. 5,00,000 (excluding GST) with a condition that if Kaala Ltd. failed to make payment within
30 days of the delivery of the goods, interest @ 2% per month on said price of Rs. 5,00,000 will
be charged for the period of delay. Goods were delivered and the invoice was issued, on 5th April.
Kaala Ltd. paid the consideration for the goods on 20th May along with applicable interest. Kaala
Ltd. refused to pay any tax payable on the interest amount. Applicable rate of GST in this case
is 18%. The value of supply, in the given case, is_____ .
(a) Rs. 5,00,000
(b) Rs. 5,05,000
(c) Rs. 5,04,237
(d) Rs. 5,95,900
ANS (c)
4. Dhara Private Ltd. is engaged in supply of taxable goods. In the current month, it supplied 1,000
units of such goods to Jal & Co. at a unit price of Rs. 250 & 5,000 units to Vayu & Co. at a unit
price of Rs. 230. It has received a subsidy of Rs. 1,00,000 from a NGO, Urja, for the current
month for the energy conserved by during the month. The value of supply of goods to Jal & Co.
and Vayu & Co. is__________ and_____ respectively.
(a) Rs. 2,50,000; Rs. 11,50,000
(b) Rs. 2,50,000; Rs. 12,50,000
(c) Rs. 3,50,000; Rs. 11,50,000
(d) Rs. 3,00,000; Rs. 12,00,000
ANS (a)
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5. Sapiant Ltd., registered under GST, supplies machinery used for making bottle caps to Chandra
Ltd. at a price of Rs. 40,00,000 (excluding all taxes and other expenses). A cash discount of 2%
on the above price of the machinery is offered at the time of supply since Chandra Ltd. agrees to
make the payment within 15 days of the receipt of the machinery at its premises. Sapiant Ltd.
receives a price linked subsidy of Rs. 2,00,000 from its holding company Diligent Ltd. The value
of supply of machinery is _____.
(a) Rs. 39,20,000
(b) Rs. 42,00,000
(c) Rs. 41,60,000
(d) Rs. 41,20,000
ANS (d)
6. Discount given after the supply has been effected is deducted from the value of taxable supply,
if –
(i) such discount is given as per the agreement entered into at/or before the supply
(ii) such discount is linked to the relevant invoices
(iii) proportionate input tax credit is reversed by the recipient of supply
(a) (i)
(b) (i) and (ii)
(c) (ii) and (iii)
(MTP 2 Marks, Oct 21, MTP 1 Mark Apr 19)
Ans: (d)
7. With reference to the provisions relating to transaction value under section 15 of the CGST Act,
2017, which of the following is not correct?
(a) Central excise duty will not be included in transaction value for supply of tobacco.
(b) Municipal taxes paid by tenant will be included in transaction value for supply of renting
service.
(c) Entertainment tax included in movie ticket will form part of transaction value.
(d) Customer makes payment of freight which is payable by the supplier, directly to the service
provider. However, supplier does not include this amount in the invoice. Such amount will be
included in transaction value of the supplier.
(RTP May 20)
Ans: (a)
8. Pradeep Traders, registered in Haryana, sold goods for Rs. 2,05,000 to Balram Pvt. Ltd. registered
in Uttar Pradesh (GST is leviable @ 5% on said goods). As per the terms of sales contract, Pradeep
Traders has to deliver the goods at the factory of Balram Pvt. Ltd. For this purpose, Pradeep
Traders has charged freight of Rs. 2,400 from Balram Pvt. Ltd. GST is leviable @ 12% on freight.
What would be the net GST liability to be paid in cash in this case assuming that the amounts given
herein are exclusive of GST?
(a) lGST-Rs. 37,332
(b) lGST-Rs. 10,370
(c) CGST-Rs. 18,666 and SGST-Rs. 18,666
(d) CGST-Rs. 5,185 and SGST-Rs. 5,185
(RTP Nov Õ20)
Ans: (b)
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Chapter 8: Input Tax Credit

1. Following amounts are being reflected in GSTR-2B of Sukhiya Associates, registered under GST, for the
month of April:
Raw material purchased Rs. 20,000
Machinery purchased for manufacturing goods Rs. 1,00,000
Raw material purchased for construction of immovable property Rs. 5,00,000
Apart from this, an invoice for purchase of raw materials worth Rs. 30,000 is not reflected in
GSTR-2B of April as the supplier has not furnished his GSTR-1. Moreover, GST of Rs. 25,000 is paid on
GTA services received from Sindhu Transporters in April for transport of raw materials.
Compute the amount of ITC that Sukhiya Associates is eligble to avail for the month of April.
(a) Rs. 1,45,000
(b) Rs. 6,20,000
(c) Rs. 6,45,000
(d) Rs. 6,75,000
ANS (a)
2. Cheeku Ltd., a registered person, is engaged in manufacturing of taxable goods. It provides following
details in relation to GST paid on inward supplies procured by it during the month of January:
Raw material purchased Rs. 2,00,000
(to be received in the month of February)
Capital goods purchased Rs. 4,80,000
(Invoice for one of the machines is missing.
GST paid on the same is Rs. 70,000)
Free samples distributed Rs. 80,000
Trucks used for transport of minerals Rs. 1,20,000
Determine the amount of ITC that can be availed by Cheeku Ltd. for the month of January. Subject to
the information given above, all the other conditions necessary for availing ITC have been fulfilled.
(a) Rs. 7,30,000
(b) Rs. 5,30,000
(c) Rs. 6,80,000
(d) Rs. 7,60,000
ANS (b)
3. Dheeru Ltd., a registered person, is engaged in manufacturing of toys. It provides following details in
relation to GST paid on
supplies procured by it during the month of October:
Particulars GST (Rs. )
Raw material purchased 2,00,000
Construction of pipelines laid outside
the factory premises 3,00,000
Insurance charges paid for trucks used
for transportation of goods 80,000
Determine the amount of ITC that can be availed by Dheeru Ltd. for the month of October. Subject to
the information given above, all the other conditions necessary for availing ITC have been fulfilled.
(a) Rs. 5,00,000
(b) Rs. 2,80,000
(c) Rs. 3,80,000
(d) Rs. 5,80,000
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ANS (b)
4. Vrinda Enterprises is a trader of electronic items in Haryana. It opted for the composition scheme on 1st
April of current financial year. However, with effect from 1st July, it switched to regular scheme of
paying the tax since its aggregate turnover crossed Rs. 150 lakh. The stock of goods (purchased during
last 6 months) and machinery (purchased on 3rd May) on 30th June is Rs. 16,00,000 and Rs. 6,20,000
respectively. Compute the amount of ITC that can be availed by Vrinda Enterprises assuming the
applicable rate of GST to be 18%.
(a) Nil
(b) Rs. 3,94,020
(c) Rs. 3,96,000
(d) Rs. 2,88,000
ANS (b)
5. Dua & Co. made an outward inter-State supply of Rs. 80 lakh in the month of March. During the month,
it purchased raw material worth Rs. 70 lakh and procured cement of Rs. 5 lakh for making foundation
and structural support to a plant and machinery. Assuming that the opening balance of ITC for IGST for
the relevant period is Rs. 2 lakh and all inward and outward supplies undertaken in the month of March
are inter-State, compute the amount of net IGST payable in cash, if any, for the month of March. Rate
of GST applicable is 18%. Subject to the information given above, all the other conditions necessary for
availing ITC have been fulfilled.
(a) Rs. 14,400
(b) Nil
(c) Rs. 14.40 lakh
(d) Rs. 9,000
ANS (a)
6. Akash Ltd. a registered person in Punjab has purchased Air Conditioner for invoice value of Rs. 32,000
(which includes GST at 18%) from Mukesh Ltd. registered in Punjab. Akash Ltd. had capitalized Air
Conditioner in his books of accounts for full value of Rs. 32,000 and taking the benefit of depreciation
on the same. Keeping in view of the above situation the input tax credit which Akash Ltd. is required to
take in his books of accounts will be;
(a) Nil
(b) Rs. 4,881
(c) Rs. 5,760
(d) Rs. 2,880
(MTP 2 Marks, Oct20)
Ans: (a)
7. A supplier takes deduction of depreciation on the GST component of the cost of capital goods as per
Income- tax Act, 1961. The supplier can-
(a) avail only 50% of the said tax component as ITC
(b) not avail ITC on the said tax component
(c) avail 100% ITC of the said tax component
(d) avail only 25% of the said tax component as ITC
(MTP 1Marks, March19)
Ans: (b)
8. Ganesh Traders, engaged in manufacturing of taxable as well as exempt goods, purchased a machinery
worth Rs. 17,70,000 (Rs. 15,00,000 plus Rs. 2,70,000 GST). It capitalized full amount including taxes in
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the books of accounts and claimed depreciation on it as per provisions of the Income Tax Act, 1961.
Compute the amount of ITC that can be claimed by Ganesh Traders?
(a) Rs. 2,70,000
(b) Zero
(c) In Proportion of taxable and exempt supply
(d) BY decreasing percentage points as prescribed
Ans: (b)
9. Medhavi Industries, engaged in manufacturing of taxable goods, purchased cars for official use of its
employees. Amount of GST paid on purchase of the cars amounted to Rs. 2,80,000. It also availed outdoor
catering services for a marketing event organised for its prospective customers. Amount of GST paid on
said services was Rs. 18,000. Compute the total amount of ITC that can be claimed by Medhavi Industries.
(a) Rs. 2,98,000
(b) Rs. 18,000
(c) Rs. 2,80,000
(d) Nil
(MTP 2 Marks Sep 22)
Ans: (d)
10. ITC on is not blocked.

(a) trucks purchased by a company for transportation of its finished goods
(b) aircraft purchased by a manufacturing company for official use of its CEO
(c) general insurance taken on a car used by employees of a manufacturing company for official purposes
(d) cars purchased by a manufacturing company for official use of its employees
(MTP 2 Marks Oct22)
Ans :(a)
11. PZY Ltd. is engaged in manufacturing of motor car. The company paid following amount of GST to its
suppliers against the invoices raised to it. Compute the amount of ineligible input tax credit under GST
law:-
S. No. Particulars GST Paid (Rs. )
1. General insurance taken on cars manufactured by PZY Ltd. 1,00,00,000
2. Buses purchased for transportation of employees (Seating 25,00,000
capacity 23)
3. Life and health insurance for employees under statutory 6,00,000
obligation
4. Outdoor catering in Diwali Mela organized for employees 3,50,000
(a) Rs. 9,50,000
(b) Rs. 3,50,000
(c) Rs. 1,31,00,000
(d) Rs. 28,50,000
(MTP 2 Marks March 23, RTP Nov21)
Ans: (b)
12. Mr. Raghu avails services of Mr. Raja, a Chartered Accountant, as under-
(i) Audit of financial accounts of Mr. Raghu Rs. 55,000
(ii) Tax audit and annual accounts filing of Mr. Raghu Rs. 10,000
(iii) Income-tax return filing of Mr. Raghu 9s wife (salaried-return) Rs. 5,000
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All the above amounts are exclusive of taxes and the applicable rate of GST on these services is 18%.
The accountant of Mr. Raghu has booked the entire expenses of Rs. 70,000 plus GST in the books of
account. Mr. Raghu is eligible to take input tax credit of -
(a) Rs. 13,500
(b) Rs. 11,700
(c) Rs. 9,900
(d) Rs. 1,800
(MTP 2 Marks April 23, RTP Nov20)
Ans: (b)
13. TT Pvt. Ltd., registered in Rajasthan, furnished following information for the month of June:
(i) Inter-State sale of goods for Rs. 1,25,000 to JJ Enterprises registered in Haryana
(ii) Inter-State purchases of goods from XYZ company, registered in Punjab, for Rs. 40,000
(iii) Intra-State purchases of goods from RR Traders, registered in Rajasthan, for Rs. 65,000
All the above amounts are exclusive of taxes. The applicable rates of CGST, SGST and IGST are 9%, 9%
and 18% respectively on inward as well as outward supplies. There is no opening balance of ITC. GST
liability payable in cash is-
(a) CGST Rs. 1,800 & SGST Rs. 1,800
(b) SGST Rs. 3,600
(c) IGST Rs. 3,600
(d) CGST Rs. 3,600
(MTP 2 Marks April 23, RTP Nov20)
Ans: (c)
14. M/s. Comfortable (P) Ltd. is registered under GST in the State of Odisha. It is engaged in the business
of manufacturing of iron and steel products. It has received IT engineering services from M/s. High- Fi
Infotech (P) Ltd. for Rs. 11,00,000/- (excluding GST @ 18%) on 28-Oct-20XX. Invoice for service
rendered was issued on 5-Nov-XX. M/s Comfortable (P) Ltd. made part-payment of Rs. 4,20,000/- on
30-Nov-XX. Being unhappy with service provided by M/s High-fi Infotech (P) Ltd., it did not make the
balance payment. Deficiency in service rendered was made good by M/s High-Fi Infotech (P) Ltd. by 15-
Feb-XY. M/s. Comfortable (P) Ltd. made payment of Rs. 3,00,000/- on 15-Feb-XY and balance payment
was made on 6-June-20XY, i.e. after 180 days of issue of invoice.
Input tax credit available in respect of IT engineering services received from M/s. High-Fi Infotech
(P) Ltd. in financial year 20XX-XY:
(a) Rs. 1,98,000/-
(b) Nil
(c) Rs. 64,068/-
(d) Rs. 1,09,831/-
(RTP May 20)
Ans: (a)
15. Calculate the amount of eligible input tax credit-

S. No. Particulars GST paid (Rs. )
1. A Mini bus having seating capacity of 15 persons (including 15,00,000
driver) used for running on hire
2. Car having seating capacity of 8 people used for business 1,00,00,000
purposes
3. Car having seating capacity of 4 persons used for imparting 50,00,000
training on driving such car
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4. Special purpose vehicle having seating capacity of 2 persons 60,00,000

used for transportation of goods
(a) Rs. 2,25,00,000/-

(b) Rs. 2,10,00,000/-
(c) Rs. 1,25,00,000/-
(d) Rs. 75,00,000/-
(RTP Nov 19)
Ans:(c)
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Chapter 9 : Registration
1. Which of the following statements are correct?
(i) Revocation of cancellation of registration under CGST/SGST Act shall be deemed to be a
revocation of cancellation of registration under SGST/CGST Act.
(ii) Cancellation of registration under CGST/SGST Act shall be deemed to be a cancellation of
registration under SGST/CGST Act.
(iii) Revocation of cancellation of registration under CGST/SGST Act shall not be deemed to be a
revocation of cancellation of registration under SGST/CGST Act.
(iv) Cancellation of registration under CGST/SGST Act shall not be deemed to be a cancellation of
registration under SGST/CGST Act.
(a) and (ii)
(b) and (iv)
(c) (ii) and (iii)
(d) (iii) and (iv)

Ans: (a)
2. A person having business verticals in a State obtain a separate registration for each business vertical.
(a) Single, shall
(b) Multiple, shall
(c) Multiple, may
(d) Single, may
(MTP 2 Marks, April 19)
Ans: (c)
3. Registration certificate granted to casual taxable person or non-resident taxable person will be valid
for:
(a) Period specified in the registration application
(b) 90 days from the effective date of registration
(c) Earlier of (a) or (b)
(d) Later of (a) or (b)
Ans: (c)
4. Aanya, an individual, based in Gujarat, is in employment and earning ₹ 10 lakh as salary. She is also providing
consultancy services to different organizations on GST implications of business. Her turnover from the
supply of such services is ₹ 12 lakh. Determine whether Aanya is liable for taking registration as per
provisions of the CGST Act?
(a) Yes, as her aggregate turnover is more than ₹ 20 lakh.
(b) No, as her aggregate turnover is less than ₹ 40 lakh.
(c)No, as services in the course of employment does not constitute supply and therefore, aggregate
turnover is less than ₹ 20 lakh.
(d) Yes, since she is engaged in taxable supply of services.
(MTP 2 Marks April 22)
Ans: (c)
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5. Miss. Raksha is engaged in providing private coaching services in Noida, Uttar Pradesh and is not
registered under GST till 25-Sep-20XX. Her aggregate turnover is ₹19,00,000/- on 30-Sep-20XX. She
got GST registration on 30-Sep-20XX. Which of the following options are available to her?
(a) She can pay tax @ 18%, charge it from customer and avail full input tax credit on procurements
made.
(b) She can pay tax @ 6% under exemption scheme for service providers but she cannot charge GST
from customer and also cannot avail input tax credit.
(c) She is not liable for registration since her aggregate turnover is less than ₹40,00,000/-
(d) Either (a) or (b)
(RTP May 20)

Ans: (d)
6. Mr. Pappu Singh, commenced his business in Feb-20XX. He has established following units:
1. Unit A (in SEZ) and Unit B (non-SEZ) in the State of Maharashtra
2. Unit C in Delhi
3. Unit D and E in the State of Goa
Mr. Pappu Singh has approached you to help him in determining the States and number of registrations he
is required to take under GST (presuming the fact that he is making taxable supply from each State and
his aggregate turnover exceeds the threshold limit):
(a) Maharashtra-2: Delhi-1, Goa–Optional 1 or 2
(b) Maharashtra-Optional 1 or 2: Delhi-1, Goa-Optional 1 or 2
(c) Maharashtra-1: Delhi-1, Goa-1
(d) Maharashtra-2: Delhi-1, Goa-2
(RTP May 20)
Ans: (a)
7. A non-resident taxable person is required to apply for registration:

(a) within 30 days from the date on which he becomes liable to registration
(b) within 60 days from the date on which he becomes liable to registration
(c) at least 5 days prior to the commencement of business
(RTP May 20)
Ans: (c)
8. Prem & Sons had taken GST registration on 1st January but failed to furnish GST returns for the next 6
months. Owing to this, the proper officer cancelled its registration on 25th July and served the order
for cancellation of registration on 31st July. Now, Prem & Sons wants to revoke the cancellation of
registration. Prem & Sons can file an application for revocation of cancellation of registration on or before.
(a) 30th August
(b) 29th August
(c) 29th September
(d) 29th October
(RTP Nov 20)
Ans: (a)
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9. Kalim & Associates made an application for cancellation of GST registration in the month of March due to
closure of its business. Its application for cancellation of GST registration was approved on 14th
September. In the given case, Kalim & Associates is:
(a) required to file Final Return on or before 13th December
(b) not required to file Final Return
(c) required to file Final Return on or before 30th September
(d) required to file Final Return on or before 14th December
(RTP Nov 20)
Ans: (d)
10. Mr. Z of Himachal Pradesh starts a new business and makes following supplies in the first month-
(i) Intra-State supply of taxable goods amounting to ₹ 17 lakh
(ii) Supply of exempted goods amounting to ₹ 1 lakh
(iii) Inter-State supply of taxable goods amounting to ₹ 1 lakh Whether he is required to obtain
registration?
(a) Mr. Z is liable to obtain registration as the threshold limit of ₹ 10 lakh is crossed.
(b) Mr. Z is not liable to obtain registration as he makes exempted supplies.
(c) Mr. Z is liable to obtain registration as he makes the inter-State supply of goods.
(d) Mr. Z is not liable to obtain registration as the threshold limit of ₹ 20 lakh is not crossed.
( RTP May 21)
Ans: (c)
11 Mr. Jambulal of Himachal Pradesh starts a new business and makes following supplies in the first month-
(i) Intra-State supply of taxable goods amounting to Rs 17 lakh
(ii) Supply of exempted goods amounting to Rs 1 lakh
(iii) Inter-State supply of taxable goods amounting to Rs 1 lakh Whether he is required to obtain
registration?
(a) Mr. Jambulal is liable to obtain registration as the threshold limit of Rs 10 lakh is crossed.
(b) Mr. Jambulal is not liable to obtain registration as he makes exempted supplies.
(c) Mr. Jambulal is liable to obtain registration as he makes the inter-State supply of goods.
(d) Mr. Jambulal is not liable to obtain registration as the threshold limit of Rs 20 lakh is not crossed.
Answer (c)
12 Riya & Co., a partnership firm, is engaged in retail trade since 1st April. The firm became liable for
registration on 1st October. However, it applied for registration on 10th October and was granted
certificate of registration on 5th November.
Determine the effective date of registration of Riya & Co.?
(a) 1st April
(b) 1st October
(c) 10th October
(d) 5th November
(1 Mark,MTP July 24)
Answer (b)
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Chapter 10 : Tax Invoice, Credit and Debit Notes
1. Lovely & Co., a registered person, supplies taxable goods to unregistered persons. It need not issue
tax invoice for the goods supplied on 16th April, if the value of the goods is and the recipient does
not require such invoice.
(a) ₹ 1,200
(b) ₹ 600
(c) ₹ 150
(d) ₹ 200
(MTP 2 Marks, March 21 )(MTP 1 Mark Oct 23)
Ans: (c)
2. Kidzee Ltd., a wholesaler of toys registered in Chandigarh, is renowned in the local market for the
varieties of toys and their reasonable prices. Kidzee Ltd. makes supply of 100 pieces of babyÕs
learning laptops and chat learning phones to Nancy General Store on 25th September, 20XX by
issuing a tax invoice amounting to ₹ 1,00,000. However, the said toys were returned by Nancy
General Store on 30th September, 20XX. Which document Kidzee Ltd. is required to issue in such
a case?
(a) Debit Note
(b) Refund voucher
(c) Credit note
(d) Payment voucher
(RTP May 19)
Ans: (c)
3. Which of the following statements is/are incorrect under GST law:-

(i) If the supplier has erroneously declared a value which is more than the actual value of goods
or services provided, then he can issue credit note for the same.
(ii) If the supplier declared some special discount which is offered after the supply is over,
then he cannot issue credit note under GST law for the discount offer.
(iii) If quantity received by the recipient is more than what has been declared in the tax invoice,
then supplier can issue debit note for the same.
(iv) There is no time limit to declare the details of debit note in the return.
(a) (i),(ii) and (iv)
(b) (i) and (iv)
(c) (iv)
(d) (i) and (iii)
(RTP Nov 21)
Ans: (c)
4. During the month of May, Z Ltd. sold goods to Y Ltd. for ₹ 2,55,000 and charged GST @ 18%.
However, owing to some defect in the goods, Y Ltd. returned the goods by issuing debit note of ₹
40,000 in the same month. Z Ltd. records the return of goods by issuing a credit note of ₹ 40,000
plus GST in the same month. In this situation, GST liability of Z Ltd. for the month of May will be-
(a) ₹ 45,900
(b) ₹ 38,700
(c) ₹ 53,100
(d) ₹ 40,000
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(RTP Nov 20)

Ans: (b)
5. Invoice shall be prepared in (I) in case of taxable supply of goods and in (ii) in case of taxable
supply of services.
(a) Triplicate, (ii) Duplicate
(b) Duplicate, (ii) Triplicate
(c) Duplicate, (ii) Duplicate

Ans: (a)
6 Suvidha Enterprises issued invoices pertaining to two independent outward supplies, where in one
invoice value of supply was understated by Rs. 75,000 and in another invoice, value was overstated
by Rs. 45,000. Which of the following is correct in respect of document to be issued by the firm
for understatement and overstatement of invoice value?
i. Debit note is to be issued for Rs. 75,000.
ii. Credit note is to be issued for Rs. 75,000.
iii. Debit note is to be issued for Rs. 45,000.
iv. Credit note is to be issued for Rs. 45,000.
(a) (i) & (iii)
(b) (ii) & (iii)
(c) (i) & (iv)
(d) (ii) & (iv)
(2 Marks, MTP July 24)
Answer (c)
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Chapter 11 : Accounts and Records

1. Which of the following statements are true w.r.t. accounts and records under GST laws?
(a) All accounts and records are to be retained for 5 years.
(b) Stock record is to be maintained by all registered dealers except the dealers registered under
composition scheme.
(c) Stock record is to be maintained by all registered dealers including composition dealers.
(d) Monthly production records are to be maintained by all dealers except the dealers who have
taken option for composition.
(MTP 1 Marks April Õ19)
Ans: (b)
2. Which of the following statements are true with respect to accounts and records?
( 1 ) All accounts and records are to be retained for 6 years.
(2) Stock record is to be maintained by all registered dealers except the dealers registered
under composition scheme.
(3) Stock record is to be maintained by all registered dealers including composition dealers.
(4) Monthly production records are to be maintained by all dealers except the dealers who have
taken option for composition.
(5) Monthly production records are to be maintained by all dealers including composition
dealers.
(6) Records are to be maintained at principal place of business.
(a) 1, 2, 5, 6
(b) 1, 3, 5
(c) 1, 3, 4
(d) 1, 2, 4, 6
(RTP May Õ19)
Ans: (a)
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Chapter 12: E-way Bill

1. Which document is required in case of movement of goods of consignment value of Rs. 1,05,000
for reasons other than supply: -
(a) Bill of supply
(b) Receipt Voucher
(c) Payment voucher
(d) E-way bill
Ans: (d)
2. ABC Ltd. generated e-way bill on 12th February at 14.00 hrs. It used over- dimensional cargo
for a distance of 100 km. When the validity period of the e -way bill will expire?
(a) Midnight of 13th-14th February
(b) Midnight of 17th-18th February
(c) At 14.00 hrs. of 13th February
(d) At 14.00 hrs. of 14th February
(RTP Nov 21)
Ans: (b)
3. M/s Gyaan Publishing House, registered under GST in Delhi, is engaged in printing and selling of
books as well as trading of stationery items. He has provided following information of a
consignment which is to be supplied to Mumbai: -
(i) Taxable value of supplies indicated on tax invoice: Rs. 35,000/-
(ii) Value of exempted supplies: Rs. 8,000/-
(iii) Value of goods to be sent to job worker on delivery challan: Rs. 15,000/-
Calculate the consignment value for the purpose of generating e-way bill for inter-State supply
of goods. Assume rate of tax on taxable goods to be 18%.
(a) Rs. 35,000/-
(b) Rs. 50,000/-
(c) Rs. 56,300/-
(d) Rs. 64,300/-
Ans : (c)
4 Sanu Associates, Delhi dealing in garments has ordered ladies suits from Sahiba Garments in
Ludhiana (Punjab) which is 350 km away from its warehouse. E-way bill is generated by Sahiba
Garments and the order is coming by a normal cargo. For how many days will the e-way bill be
valid from the time it is generated?
a. 24 hours
b. 2 days
c. 5 days
d. 7 days
(MTP March 24)
Answer (b)
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Chapter 13: Payment of Tax

1. What is the due date for payment of tax for a normal taxpayer?
(a) Last day of the month to which payment relates
(b) Within 10 days of the subsequent month
(c) Within 20 days of the subsequent month
(d) Within 15 days of the subsequent month
Ans: (c)
2. Balance in electronic credit ledger can be utilized against payment of _.

(a) output tax
(b) interest
(c) penalty
(d) late fees
(MTP 1 Marks Oct 23)
Ans: (a)
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Chapter 14 : Tax Deduction at Source and Collection of Tax at Source

1. In which of the following supplies of goods and services made exclusively to Government
departments, agencies etc., TDS is required to be deducted?
(i) Health Department executed a contract with a local supplier to supply ‘medical grade
oxygen of Rs. 2.6 lakh (including GST @ 18%) and is making full payment.
(ii) Government school is making a payment of Rs.3.5 Lakh to a supplier for supply of cooked
food as mid-day meal under a scheme sponsored by Central/State Government
(iii) Municipal Corporation of Kolkata purchases a heavy generator from a supplier in Delhi.
Now, it is making payment of Rs.5 lakh and IGST @18% on Rs.5 lakh for such purchase.
(iv) Finance Department is making a payment of Rs.3 lakh (including GST @ 18%) to a supplier
of ‘printing & stationeryÕ.
Assume all other conditions for deduction of TDS are fulfilled.
(a) (i), (ii) and (iii)
(b) (ii), (iii) and (iv)
(c) Only (i) and (ii)
(d) Only (iii) and (iv)
And: (d)
2. Analyze the transactions mentioned below-

i. Mr. Abhinay, provides architect services to Institute for Rural Development, a
Government Agency for Rs. 2,80,000/- (inclusive of Rs. 30,000/- GST) under a contract in
October, 2018. Mr. Abhinay, is registered under GST. Being a registered supplier, Institute for
Rural Development deducted TDS of supplier.
ii. M/s. Manmohak Apparels, is registered under GST in Madhya Pradesh. It sells leather
handbags across India through e-commerce operator Pingpong. Pingpong, is also registered with
Madhya Pradesh GST Authority as TCS collector and collected TCS @ 1% (0.5% CGST + 0.5%
SGST) on supplies made through it. M/s. Manmohak Apparels made sales of Rs. 3,45,000/- and
received sales returns of Rs. 67,700/- in the month of October, 2018. Sales are inclusive of
tax. Leather handbags are taxable @ 18% GST. Pingpong, collected TCS of Rs. 2,350/- from
M/s Manmohak Apparels. Which of the transactions are in compliance with section 51 or section
52 of CGST Act?
(2 Marks April 19)
(a) Only (i)
(b) Only (ii)
(c) Both (i) and (ii)
(d) Neither (i) nor (ii)
Ans: (b)
3. A taxable person has made following supplies in January, 2018 – Sales within the State – Rs.
2,00,000. Exports out of India– Rs. 60,000.
Supplies to SEZ located within the State – Rs. 40,000.He does not intend to clear goods under
Letter of Undertaking (LUT) or bond. The input tax credit available to him during January, 2018
– IGST – Nil. CGST – Rs.10,000. SGST – Rs. 20,000.
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There is no opening balance in his electronic cash ledger or electronic credit ledger. Tax rates
are –
SGST – 9%, CGST – 9%, IGST – 18%. How much amount is payable by him in cash?
(a) CGST – Rs. 8,000 SGST – Nil
(b) CGST – Rs. 11,600 SGST – Rs. 1,600
(c) CGST – Rs. 8,000, SGST – Nil, IGST – Rs. 5,200
(d) CGST – Rs. 8,000 SGST – Nil, IGST – Rs. 16,000
(2 Marks April 19)
Ans: (d)
4. Sachi Traders, registered in Maharashtra, purchased machinery two years back worth Rs.
2,00,00,000 and did not avail ITC on said machinery at the time of its purchase. After using
the machinery for two years, it gave said machinery free of cost in the month of September
(in the current year) to an unrelated person in Punjab. On the date of transfer, open market
value of the machinery was Rs. 1,25,00,000 and the written down value was Rs. 1,53,00,530.
In the month of September, it also supplied taxable goods worth Rs. 50,00,000 to Hike Oil
Corporation Limited in the territorial waters. The said territorial waters are located at a
distance of 5 nautical miles from the baseline of the State of Maharashtra and 7 nautical miles
from the baseline of the State of Kerala.
All above amounts are exclusive of GST and rates of applicable CGST, SGST and IGST in above
cases are 9%, 9% and 18%.
You are required to determine the amount of net CGST and SGST and/or IGST payable in the
month of September.
(a) CGST: Rs. 4,50,000; SGST: Rs. 4,50,000; IGST: Nil
(b) CGST: Nil; SGST: Nil; IGST: Rs. 9,00,000
(c) CGST: Nil; SGST: Nil; IGST: Nil
(d) CGST: Rs. 4,50,000; SGST: Rs. 4,50,000; IGST: Rs. 22,50,000
(2 Marks March 22)
Ans : (a)
5. In respect of a consignment supplied on 20th August, provisional assessment was resorted to.
The assessment was finalized on 20th November and the taxpayer became liable to pay
differential IGST of Rs. 10,000/-. The taxpayer paid this amount on 20th February next year.
The number of days for which the taxpayer is liable to pay interest are-
(a) 184 days
(b) 153 days
(c) 92 days
(d) 204 days
Ans: (b)
6 Kids Bazaar Pvt. Ltd., registered in Maharashtra sells kids clothing via an E- commerce operator
Champ.com. Mr. Dhruv placed an order of 10 sets of Ethnic wear in different colours each
costing Rs 5,000 (GST @18% not included) on 20th January 2023. However, he returned 2 sets
back after 2 days in accordance with the exchange policy of Champ.com. Determine the value
of supply on which Champ.com should collect TCS from Kids Bazaar Pvt. Ltd.
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(a) Rs 40,000
(b) Rs 59,000
(c) Rs 50,000
(d) Rs 47,200
(2 Marks)
Answer (a)
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Case Scenarios
Case Scenarios- Indirect Tax Laws
Case scenario (MTP OctÕ21 & Sep ‘23)
Ms. Adisha, a Doctor having in-patient facility in her hospital is a registered person under GST.She availed
interior decoration services from her spouse without any consideration being paid. She also availed IT related
services from her sister-in-law without any consideration. Both services were for the purpose of her
profession.
Ms. Adisha provided treatment of various diseases in her hospital and apart from that she also provided the
following services in her hospital-
(a) Plastic surgery to enhance the beauty of the face
(b) Ambulance service for transportation of patients
(c) Renting of space to run medical store in hospital premises
She is also a consultant in other hospitals and received Rs. 40,00,000 as consultancy fee from the other
hospitals.
Further, she also provides canteen facility and received Rs. 55,000 from in-patients, Rs. 35,000 from patients
who are not admitted and Rs. 25,000 from visitors for the same facility.
She filed GSTR-3B for the month of June with some errors. She filed the Annual return for the said financial
year on 31st October of the next year, whereas due date for the said Annual return is 31st December of the
next year.
Proper Officer of the department cancelled the registration certificate of Ms. Adisha suo-moto on 31st July.
Order of cancellation was served on 5th August. However, she applied for revocation of the same and got her
registration certificate revoked.
All the amounts given above are exclusive of taxes, wherever applicable. All the supply referred above is intra-
State unless specified otherwise.
From the information given above, choose the most appropriate Answer for the following Questions –
1. Which of the following is a correct statement as per the provisions of CGST Act, 2017?
(i) Service availed from her Spouse is a deemed supply
(ii) Service availed from her Sister-in-Law is a deemed supply
(iii) Service availed from her Spouse is not a deemed supply
(iv) Service availed from her Sister-in-Law is not a deemed supply
(a) (I) and (iv)
(b) (iii) and (iv)
(c) (ii) and (iii)
(d) (I) and (ii)
(2 Marks, OctÕ21) (Supply under GST)
Answer 1 (a) (I)and (iv)
2. Compute the taxable value of supply of canteen service provided by Ms. Adisha? (2 Marks,
OctÕ21) (Value of Supply)
(a) Rs. 25,000

(b) Rs. 35,000
(c) Rs. 60,000
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(d) Rs. 80,000

Answer 2 (c) Rs. 60,000
3. Ms. Adisha should have applied for revocation of cancellation of registration certificate by
(a) 5th August
(b) 20 th August
(c) 30th August
(d) 4th September
(2 Marks, OctÕ21) (Registration)
Answer 3 (d) 4th September
4. Maximum time permissible for rectification of error committed in monthly return of June is
(a) 20th July
(b) 20th October of the next year
(c) 31st October of the next year
(d) 31st December of the next year
(2 Marks, OctÕ21) (Returns)
Answer 4 (b) 20th October of the next year
5. Determine which of the following services provided by Ms. Adisha and her hospital is exempt
from GST?
(i) Plastic surgery to enhance the beauty of the face
(ii) Ambulance service for transportation of patients
(iii) Renting of space to run medical store in hospital premises
(iv) Consultancy service by Ms. Adisha in other hospitals
(a) (I), (ii) & (iv)
(b) (I), (ii)
(c) (ii) & (iv)
(d) (I) & (iii)
(2 Marks, OctÕ21) (Exemptions of GST)
Answer 5 (c) (ii) & (iv)
Case scenario (MTP NovÕ21) (RTP Nov Õ20)
Mr. Kumar started interior designing practice from the month of January. His turnover up to the month of
March was Rs. 12,50,000. On 30th June, his turnover exceeded Rs. 20,00,000 & reached to Rs. 20,05,000.Mr.
Kumar applied for GST registration (as regular taxpayer) on 15th July and registration was granted to him on
25th July. On 16th July, he entered into a contract for designing the flat of Mr. Sham. The service was
completed on 22nd July and Mr. Kumar issued invoice on the same day for Rs. 6,00,000. On 5th July, Mr. Kumar
purchased capital goods amounting to Rs. 4,50,000 and from 25th July to 31st July, he availed services
amounting to Rs. 1,75,000 for the purpose of completing the service.
On 1st August, Mr. Kumar got another contract for interior designing from Mr. Ram, which he accepted on 2nd
August. The service was completed on 6th August and invoice was issued on 7th August for Rs. 5,00,000.
Payment was received on 29th August.
All values are excluding taxes, unless specifically mentioned. Mr. Kumar makes only intra-State outward supplies
and all purchases are also intra-State. Rates of tax are CGST - 9% and SGST – 9%.
In relation to the above, Answer the following Questions:
1. The effective date of registration for Mr. Kumar is-
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(a) 30th June

(b) 15th July
(c) 25th July
(d) 16th July (2 Marks, NovÕ21) (Registration)
Answer 1 (a) 30th June
2. Mr. Kumar can issue a revised tax invoice till-

(a) 23rd October
(b) 8th September
(c) 25th September
(d) 25th August (2 Marks, NovÕ21) (Tax Invoice, Credit & Debit Note, E-way Bill)
Answer 2 (d) 25th August
3. Eligible input tax credit available with Mr. Kumar for the month of July is-( 2 Marks, NovÕ21)
(Input Tax Credit)
(a) CGST Rs. 40,500 & SGST Rs. 40,500
(b) CGST Rs. 15,750 & SGST Rs. 15,750
(c) CGST Rs. 56,250 & SGST Rs. 56,250
(d) CGST Rs. 36,000 & SGST Rs. 36,000
Answer 3 (c) CGST Rs. 56,250 & SGST Rs. 56,250
4. The time of supply of services provided by Mr. Kumar to Mr. Ram is-
(a) 7th August
(b) 1st August
(c) 29th August
(d) 6th August (2 Marks, NovÕ21) (Time of Supply)
Answer 4 (a) 7th August
5. If instead of opting for regular scheme, Mr. Kumar opts to pay tax under section 10(2A) of the
CGST Act, 2017, the tax liability for the month of July will be-
(a) CGST Nil and SGST Nil
(b) CGST Rs. 54,000 & SGST Rs. 54,000
(c) CGST Rs. 18,000 & SGST Rs. 18,000
(d) CGST Rs. 78,150 & SGST Rs. 78,150(2 Marks, NovÕ21) (Payment of Tax)
Answer 5 (c)
CGST Rs. 18,000 & SGST Rs. 18,000
Case scenario (MTP AprilÕ21)
Ms. Anjali is engaged in supply of services. She is registered under GST and has opted to pay tax under
composition scheme for service provider under section 10(2A) of the CGST Act. The turnover for the quarter
ending June was Rs. 12,00,000. During July, she crossed the aggregate turnover of Rs. 50 lakh and opted out
of composition scheme. She also started trading of goods in July.
She supplied an order to Breathe Well LLP on ex-factory basis, the details of which are as follows-
i. Basic price of the product – Rs. 53,000

ii. Outward freight – Rs. 12,000
iii. Packing Charges – Rs. 5,000
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iv. Discount given on receiving payment – Rs. 2,000

(not included in invoice)
For supplies, provided to Breathe Well LLP, she received half of the amount as advance on 22nd July. The goods
were dispatched from her factory on 25th July and delivered on 28th July. She raised the invoice on 30th July
and the balance payment was also received on the same date.
Ms. Anjali received 25 invoices from various suppliers involving GST of Rs. 1,50,000 for the month of July.
While filing GSTR-3B for the said month on 20th August, she found that only 20 invoices involving GST of Rs.
1,00,000 were uploaded by the suppliers.
Ms. Anjali supplied goods to the following persons-
Sl. No. Recipient Value of Supply
1 Mr. Pawan - an unregistered person Rs. 150
2 Mr. Umesh, a registered person Rs. 110
3 Rains Trust, an unregistered entity Rs. 250
None of the above persons requires a tax invoice.

All the amounts given above are exclusive of taxes, wherever applicable. All the supply referred above is intra-
State unless specified otherwise. Conditions applicable for availment of ITC are fulfilled subject to the
information given above.
Based on the information provided above, choose the most appropriate Answer for the following Questions 1.1
to 1.5-
1. Compute the tax liability for the quarter ending June under CGST and SGST?
(a) Rs. 30,000 each
(b) Rs. 12,000 each
(c) Rs. 6,000 each
(d) Rs. 36,000 each
(2Marks,AprilÕ21)( Payment of Tax)
Answer 1 (d)Rs. 36,000 each
2. Compute the value of Supply made by Ms. Anjali to Breathe Wall LLP?
(a) Rs. 56,000
(b) Rs. 58,000
(c) Rs. 68,000
(d) Rs. 75,000
(2Marks,AprilÕ21)( Value of Supply)
Answer 2 (b) Rs. 58,000
3. Determine the amount of ITC that can be claimed by Ms. Anjali for the month of July?
(2Marks,AprilÕ21) ( Input Tax Credit)
(a) Rs. 1,00,000
(b) Rs. 1,10,000
(c) Rs. 1,20,000
(d) Rs. 1,50,000
Answer (b)Rs. 1,10,000
4. Determine the time of supply made to Breathe Wall LLP?

(a) 22nd July
(b) 25th July
(c) 28th July
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(d) 30th July

(2Marks,AprilÕ21)( Time of Supply)
Answer 4 (b) 25th July
5. Question 5
Ms. Anjali need not issue invoice to which of the following persons?
(a) Mr. Pawan
(b) Mr. Pawan and Umesh
(c) Mr. Pawan and Rains Trust
(d) Need not issue invoice to all the three persons
(2Marks, AprilÕ21) (Tax Invoice, Credit & Debit Note, E- way Bill)
Answer 5 (a) Mr. Pawan
Case scenario (MTP MarÕ21)
Explore Logistics, a Goods Transport Agency registered under GST provided GTA services (taxable @ 5%) to
the following persons-
(a) Sahil Traders, an unregistered Partnership firm.
(b) Mr. Aadi, a casual taxable person, who is not registered under GST.
(c) Small Traders co-operative society registered under Societies Registration Act. In a particular
consignment, Explore Logistics transported the following-
(a) Defence Equipments
(b) Railway Equipments
(c) Organic Manure
Explore Logistics opted to charge GST @ 12% from October. It provided GTA Services to Mahajan Steels Pvt.
Ltd. on 1st October and issued an invoice dated 5th November. Payment was received on 6th November.
It provided both inter-State and intra-State service to various registered as well as unregistered persons.
Based on the information provided above, choose the most appropriate Answer for the following Questions 1.1
to 1.5-
1. Which of the following persons are liable to pay GST on reverse charge in respect of the GT A
services (taxable @ 5%) provided by Explore Logistics
i Sahil Traders
ii Mr. Aadi
iii Small Traders Co-operative society
(a) i & ii
(b) ii & iii
(c) i & iii
(d) i, ii & iii
(2 Marks, MarchÕ21) (Charge of GST)
Answer 1 (c)i & iii
2. Out of items transported by Explore Logistics, which of the following is/ are exempt from GST?
i. Defence Equipments
ii. Railway Equipments
iii. Organic Manure
(a) i
(b) i & ii
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(c) i & iii

(a) i, ii & iii
(2 Marks, MarchÕ21) (Exemptions of GST)
Answer 2 (c)i & iii
3. What will be the time of supply in respect of the services provided by Explore Logistics to Mahajan
Steels Pvt. Ltd.?
(a) 6th November
(b) 5th November
(c) 30th November
(b) 1st October
(2 Marks, MarchÕ21) (Time of Supply)
Answer 3 (b)1st October
4. Which of the following statements is correct in respect of services provided by Explore Logistics
to Mahajan Steels Pvt. Ltd.?
(a) Mahajan Steels Pvt. Ltd. is liable to pay GST
(b) Explore Logistics is liable to pay GST
(c) Service provided by Explore Logistics to Mahajan Steels Pvt. Ltd. is exempt under GST
(c) Mahajan Steels Pvt. Ltd. is liable to pay 50% GST and remaining 50% will be paid by Explore
Logistics
(2 Marks, MarchÕ21) (Charge of GST)
Answer 4 (b)Explore Logistics is liable to pay GST
5. In respect of which of the following supplies, Explore Logistics has to provide invoice-wise details
in GSTR-1?
i. Inter-State supplies to registered person with invoice value not exceeding Rs. 2,50,000
ii. Inter-State supplies to unregistered person with invoice value not exceeding Rs. 2,50,000
iii. Inter-State supplies to unregistered person with invoice value exceeding Rs. 2,50,000
iv. Intra-State supplies to registered person with invoice value not exceeding Rs. 2,50,000
(a) i & iv
(b) i & ii
(c) ii & iii
(d) i, iii & iv
(2 Marks, MarchÕ21) (Returns)
Answer 5 (d)i, iii & iv
Case scenario (MTP OctÕ20)
M/s. Shanky Consultants, a partnership firm registered in Delhi, renders following services during the year:
(i) Security services: Rs. 2,00,00,000/ to registered business entities.
(ii) Manpower services (Accountants): Rs. 5,00,000/-
(iii) Auditing services: Rs. 1,00,00,000/- Other Information:
(i) Shanky Consultants also paid sponsorship fees of Rs. 70,000/- at seminar organized by a private
NGO (a partnership firm) in Delhi.
(ii) Shanky Consultant pays rent amounting to Rs. 6,00,000/- for a building owned by MCD.
(iii) Assume all services are taxable at 18% and all transactions to be intra-State supplies. Based on the
above information, Answer the following Questions:
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1. What is the aggregate turnover of Shanky Consultants?

(a) Rs. 3,05,00,000/-
(b) Rs. 3,05,70,000/-
(c) Rs. 1,05,00,000/-
(d) Rs. 1,05,70,000/-. (2Marks, OctÕ20) (Charge of GST)
Answer 1 (a)
2. GST liability paid under reverse charge by Shanky Consultants is?

(a) CGST: Rs. 60,300/-, SGST: Rs. 60,300/-
(b) CGST: Rs. 6,300/-, SGST: Rs. 6,300/-
(c) CGST: Rs. 54,000/-, SGST: Rs. 54,000/-
(d) None of the above. (2Marks, OctÕ20) (Charge of GST)
Answer 2 (a)
3. State which of the following statement is true in respect of security services provided by Shanky
Consultants to registered business entities:
(a) Shanky Consultants shall issue GST compliant tax invoice.
(b) Shanky Consultants shall issue bill of supply stating “Tax to be paid by service recipient
under reverse charge”.
(c) Shanky Consultants can issue any document in lieu of tax invoice.
(d) Shanky Consultants shall issue receipt voucher every time Shanky Consultants receives
payment. (2Marks, OctÕ20) Tax Invoice, Credit & Debit Note, E-way Bill
Answer 3 (a)
Case scenario (MTP MayÕ20)
Ms. Riya is a multi-faceted business personality. She is registered under GST from April, 20XX.
She supplied a package consisting of stapler, calculator and charger at a single price of Rs. 300/. Rate of GST
for stapler, calculator and charger is 5%, 12% and 18% respectively.
She wants to opt for composition levy.
She received following payments during the month of May, 20XX:
- earned Rs. 160,000 by performing in western music in a cultural event at a Resort
- earned Rs. 50,000 by providing services by way of renting of residential dwelling for use as boutique.
- received Rs. 70,000 by way of rent for letting of agro machinery
Ms. Riya made a supply during June, 20XX, details of which are as follows: -
- Basic price of the product – Rs. 45,000
- Tax collected at source under Income-tax Act, 1961 – Rs. 2,500
- She received a subsidy of Rs. 3,500 from Green Foundation Pvt. Ltd for usage of green energy and the
subsidy was linked to saving energy
Ms. Riya provides the following information regarding receipt of inward supply during July, 20XX:
- received invoice for goods having GST Component of Rs. 30,000. Goods were to be delivered in 5 lots,
out of which three lots were received in the current month.
- purchased a car having GST component of Rs. 1,50,000 for the usage in a driving school owned by her
- availed health insurance service for her employees on her own and paid GST of Rs. 7,000 thereon
Transactions referred above are intra-State only. Conditions necessary for claiming input tax credit (ITC) have
been fulfilled subject to the information given above.
From the information given above, choose the most appropriate Answer for the following Questions: -
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1. What would be the nature of supply and the applicable rate of GST for the supply of package
made by Ms. Riya (when not registered under composition scheme): -
(a) composite Supply & applicable rate 12%
(b) mixed Supply & applicable rate 18%
(c) composite Supply & applicable rate 18%
(d) mixed Supply & applicable rate 12%(2 Marks, MayÕ20)( Supply under GST)
Answer 1 (b)
2. Ms. Riya can opt for composition scheme if she does not undertake the supply of
(i) Aerated water
(ii) Tobbaco
(iii) Pan masala
(iv) Milk
(a) I& ii
(b) iii & iv
(c) I, ii & iii
(d) ii, iii & iv (2 Marks, MayÕ20) (Charge of GST)
Answer 2 (c)
3. Out of payments received by Ms. Riya in month of May 20XX, exempt Supply amounts to
(a) Rs. 50,000
(b) Rs. 70,000
(c) Rs. 1,20,000
(d) Rs. 1,60,000(2 Marks, MayÕ20) (Exemptions of GST)
Answer 3 (b)
4. In respect of supply made by Ms. Riya, the value of supply under section 15 of CGST Act, 2017 is
(a) Rs. 45,000
(b) Rs. 47,500
(c) Rs. 48,500
(d) Rs. 51,000(2 Marks, MayÕ20)) (Value of Supply)
Answer 4 (a)
5. Eligible amount of input tax credit that can be claimed by Ms. Riya in the month of July 20XX is,
(a) Rs. 30,000
(b) Rs. 37,000
(c) Rs. 1,50,000
(d) Rs. 1,57,000 (2 Marks, mayÕ20) (Input Tax Credit)
Answer 5 (c)
Case scenario (MTP March 22 & Oct ‘23)
M/s. Harsimran & Co., a registered supplier under GST, is dealing in supply of taxable goods in the State of
Karnataka.
The firm had opted for Composition Scheme from April month of last financial year. ItÕs turnover crossed Rs.
1.50 Crores on 9th May of current financial year and had opted for withdrawal of composition scheme on the
said date.
Harsimran & Co. removed goods on 10th June for delivery to Simran & Co. on ‘Sale or Return BasisÕ.
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Simran & Co. accepted the goods vide its confirmation mail dated 15th December.
The firm has paid GST for various items during the month of August. It comprised of the following -
(a) GST paid on input services intended to be used for personal purposes – Rs. 12,000
(b) GST paid on purchase of Motor Vehicle for business use (being a two-wheeler having engine capacity of
25CC) – Rs. 9,000
(c) GST paid on purchase of computer – Rs. 19,000
(GST portion was included as part of cost to claim depreciation under Income-tax Act, 1961)
During May, Harsimran and Co. had reversed ITC of Rs. 10,000 for not making payment to Vendors within the
time prescribed under CGST Act, 2017. This pending payment was cleared in the month of August.
Out of purchases made and ITC availed during earlier months, the following information is made available as on
September:
Supplier Name Payment is due for (Number of days) Related ITC Component
XYZ 165 Rs. 13,000
ABC 199 Rs. 15,000
PQR 99 Rs. 20,000
Harsimran & Co received accounting services from Ekam & Co., an associated enterprise, located in Sri Lanka.
Ekam & Co. issued invoice for the service on 1st September, which was entered by Harsimran & Co. in its book
on 10th October. But payment was made on 30th September. All the supply referred above is intra-State unless
specified otherwise. Conditions applicable for availment of ITC are fulfilled subject to the information given
above. Based on the information provided above, choose the most appropriate Answer for the following
Questions [1.1 -1.5]- (2 Marks)
1.1 Harsimran & Co. needs to furnish a statement containing details of stock of inputs/ inputs held in
semi-finished / finished goods on the withdrawal of composition scheme by
a) 9th May
b) 23rd May
c) 8th June
d) 7th July (Chapter 13 Charge of GST)
Answer 1.1 : (c)
1.2 In respect of the goods sent on sale or return basis, Harsimran & Co. shall issue the invoice by
(a) 10th June
(b) 10th September
(c) 10th December
(d) 15th December (Chapter 18 Tax Invoice, Credit & Debit Note, E-way Bill) Answer 1.2 : (c)
1.3 Determine the amount of eligible input tax credit that can be availed by Harsimran & Co for the
month of August?
(a) Nil
(b) Rs. 19,000
(c) Rs. 22,000
(d) Rs. 50,000 (Chapter 16 Input Tax Credit)
Answer 1.3 : (b)
1.4 Compute the amount of ITC to be reversed for the month of September? Ignore interest
liability, if any.
(a) Nil
(b) Rs. 28,000
(c) Rs. 15,000
(d) Rs. 13,000(Chapter 16 Input Tax Credit)
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Answer 1.4 : (c)
1.5 Time of supply in respect of service imported by Harsimran & Co from its Associated Enterprise
is
(a) 1st September
(b) 30th September
(c) 1st October
(d) 10th October (Chapter 15.1 Time of Supply )
Answer 1.5 : (b)
Case scenario (MTP April 22)
Mr. Lala is engaged in supply of tiles and marbles in the State of Telangana. He is not registered under GST.
He commenced his business from the month of July.
He availed godown construction services for business from his brother-in-law who was dependent on him. He
also availed professional consultancy services for the purpose of business from his son who is a Company
Secretary and his son is not dependent on him. Mr. Lala did not pay anything for both the services as both of
them were his relative / family member respectively.
On the basis of advice of his son, Mr. Lala made the supply of tiles within his State only. His turnover reached
to Rs. 7 lakh as on 31st October. However, he planned to expand his business to other States, since he has
received decent orders from other States also.
During the month of December, he received a consignment of tiles from Rajasthan through Prompt Carriers, a
goods transport agency based in the State of Rajasthan. Goods were dispatched by the supplier on ‘to-payÕ
basis for freight. Freight charges were Rs. 50,000 and the said GTA pays GST @ 12%. Mr. Lala paid the invoice
amount in the month of December itself. This was an inter-State transaction. During the month of January,
Mr. Lala made his first inter-State supply to Tamil Nadu on 4th January. His turnover before making such
supply was Rs. 15 lakh.
Value of such inter-state supply was Rs. 4,50,000, exclusive of taxes. Payment for the said inter-State supply
was received on 28th February. Invoice was raised by Mr. Lala on 25th January.
All the figures given above are exclusive of taxes wherever applicable. Based on the information given above,
choose the most appropriate Answer for the following Questions-
1.1 In respect of services availed by Mr. Lala, which of the following is a correct statement?
(a) Godown construction service availed from his brother-in-law free of cost is considered as
a deemed supply
(b) Professional service availed from his son free of cost is considered as a deemed supply
(c) Neither of the services is a deemed supply
(d) Both services are deemed supply (Chapter 12 Supply under GST)
Answer 1.1 : (b)
1.2 Upto which limit of aggregate turnover, Mr Lala can continue to supply goods without registration
within his state, if he does not procure any goods/services on which tax is payable under reverse
charge mechanism?
(a) Rs. 20 lakh
(b) Rs. 40 lakh
(c) Rs. 10 lakh
(d) Rs. 150 lakh (Chapter 17 Registration)
Answer 1.2 : (a)
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1.3 What is the tax liability for the freight charges?

(a) Rs. 6000 of IGST under reverse charge
(b) Rs. 6000 of IGST under forward charge
(c) Rs. 3000 each under CGST and SGST under reverse charge
(d) Nil as it is exempt (Chapter 13 Charge of GST)
Answer 1.3 : (d)
1.4 Which of the following statement is correct with respect to liability of Mr. Lala to register
under GST?
(a) Mr. Lala is liable to register in the month of December for receipt of GTA services.
(b) Mr. Lala is liable to register in the month of January for effecting inter-State outward
supply of goods.
(c) Mr. Lala is liable to register only when his turnover exceeds the threshold limit
irrespective of whether he is in receiving any GTA services or is effecting inter-State outward
supply.
(d) Mr. Lala is not required to register as it is his first year of business. (Chapter 17
Registration)
Answer 1.4 : (b)
1.5 What is the time of supply of goods made by Mr Lala during January?
(a) 4th January
(b) 25th January
(c) 3rd February
(d) 28th February (Chapter 15.1 Time of Supply) (10 Marks April 22)
Answer 1.5 : (a)
Case scenario ( MTP SepÕ22)
Purvi, registered under GST in the State of Madhya Pradesh, is engaged in supplying a bouquet of taxable goods
and services. She has undertaken following activities/transactions in the month of October in the current
financial year:
(i) Donated some money to Divyaprakash Charitable Trust, Madhya Pradesh, in the memory of her late
father. The Divyaprakash Charitable Trust constructed a room in the school run by it from such donation and
wrote “Donated by Miss. Purvi in the memory of her father” on the door of the room so constructed.
(ii) Organized a seminar in Indore which was sponsored by WE-WIN Cricket Academy, an LLP. Purvi
received a sponsorship fee of Rs. 1,50,000.
(iii) Bindusar Public School intended to distribute gift packages consisting of fountain pen, calculator and
tape dispenser to its students on the occasion of ChildrenÕs Day. Therefore, it entered into a contract with
Purvi on 28th October for supply of 2,000 packages at a single price of Rs. 250. Rates of GST for fountain
pen, calculator and tape dispenser are 5%, 12% and 18% respectively.
(iv) Received following payments during the month of October:
- earned Rs. 160,000 by performing at a western music concert in Indore
- earned Rs. 50,000 for renting of space for use as a Textile Emporium
- received Rs. 70,000 for supply of farm labour
(v) Supplied a machinery with a basic price of Rs. 45,000 (before TCS under Income Tax Act, 1961). Tax
collected at source under Income-tax Act, 1961 on said machinery is Rs. 2,500. Further, a subsidy of Rs.
50,000 is received from Green Foundation Pvt. Ltd for usage of green energy and the subsidy was linked to
energy saved during the month.
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All the amounts given above are exclusive of GST, wherever applicable.
Based on the facts of the case scenario given above, choose the most appropriate answer to Q. Nos. 1 to5
below:-
1. Donation made by Purvi to Divyaprakash Charitable Trust is _ _.

(a) exempted from GST by way of a notification
(b) not a supply at all
(c) liable to GST under forward charge
(d) liable to GST under reverse charge (SepÕ22)
Answer 1:(b)
2. Which of the following statements is correct with respect to the sponsorship fee received by
Purvi?
(a) Tax on sponsorship services is payable by Purvi under forward charge.
(b) Tax on sponsorship services is payable by WE-WIN Cricket Academy under reverse
charge.
(c) Sponsorship services are exempt from GST since services provided to a sports academy
are exempt.
(d) Tax on sponsorship services is payable by Purvi under reverse charge. (SepÕ22)
Answer 2:(b)
3. Determine the nature of supply and the applicable rate of GST for the packages supplied by
Purvi to Bindusar Public School.
(a) composite supply & applicable rate of GST is 12%
(b) mixed supply & applicable rate of GST is 18%
(c) composite supply & applicable rate of GST is 18%
(d) mixed supply & applicable rate of GST is 12% (SepÕ22)
Answer 3:(b)
4. Out of all the payments received by Purvi in the month of October, value of exempt supply
amounts to .
(a) Rs. 4,30,000
(b) Rs. 70,000
(c) Rs. 1,20,000
(d) Rs. 2,20,000(SepÕ22)
Answer 4:(b)
5. The value of supply of machinery supplied by Purvi is _.

(a) Rs. 45,000
(b) Rs. 47,500
(c) Rs. 48,500
(d) Rs. 51,000(5 x 2 Marks = 10 Marks ) (SepÕ22)
Answer 5:(a)
Case scenario (MTP Oct Õ22)
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Sarabhai & Sarabhai Associates, a partnership firm registered under GST, is engaged in various types of
business activities. It has provided the details of the following activities undertaken by it in the current
financial year:
(i) It supplies taxable goods to Dhanush Enterprises at a price of Rs. 8,00,000 in the month of April, with
a credit period of 1 month for payment. Thereafter, interest @ 12% p.a. is chargeable on the consideration.
The payment is received from Dhanush Enterprises after the lapse of two months from the date of supply.
(ii) It enters into a contract for supply of 100 office chairs @ Rs. 15,000 with Ashoka Mart on 21st August.
Chairs are removed from the warehouse of Sarabhai & Sarabhai Associates on 5 th September along with the
invoice of said date. Ashoka Mart has paid 30% of the total contract value on 21 st August; balance 70% is paid
after delivery of chairs on 10th September.
(iii) In the month of October, it provides services by way of transportation of goods in a goods carriage by
road to Fisheries Department of Government of India, registered under GST for the purpose of deducting tax
at source and not for making any taxable supply. Sarabhai & Sarabhai Associates is a registered goods transport
agency and charges Rs. 1,20,000 for the said services.
(iv) It also provides services of Direct Selling Agent to an NBFC located in Mumbai in the month of
December for Rs. 50,000.
(v) It organises a business exhibition in the month of December for which it receives a sponsorship fee of
Rs. 3,00,000 from Dhara Ltd.
(vi) It provides free gifts to each of its employees valuing Rs. 50,000 at the end of each financial year.
(vii) It avails services of Dhruv Travel Agency for organizing a free vacation for its top performing
employees in the month of December. GST of Rs. 50,000 is paid on the same. In the same month, it also pays
GST of Rs. 20,000 on the membership of Rudraksh Fitness Centre taken for its CEO.
All the amounts given above are exclusive of taxes, wherever applicable. All conditions for availing ITC are
fulfilled subject to the information given above.
Based on the information provided above, choose the most appropriate answer for the following que stions-
1. Value of supply made to Dhanush Enterprises, assuming the interest on delayed payment to be
exclusive of GST, is _.
(a) Rs. 8,00,000
(b) Rs. 8,08,000
(c) Rs. 7,92,000
(d) Rs. 8,16,000 (2 Marks) (OctÕ22)
Answer 1: (b)
2. The time of supply of advance money of Rs. 4,50,000 received for supply of office chairs to Ashoka
Mart is
. For balance payment of Rs. 10,50,000 received, the time of supply is _.
(a) 21st August; 5th September
(b) 5th September; 10th September
(c) 21st August; 10th September
(d) 5th September; 5th September (2 Marks) (Oct 22)
Answer 2: (d)
3. Determine the value of outward supplies made by Sarabhai & Sarabhai Associates on which tax is
payable under reverse charge.
(a) Rs. 1,20,000
(b) Rs. 50,000
(c) Rs. 1,70,000
(d) Rs. 3,00,000 (2 Marks) (SepÕ22)
Answer 3: (d)
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4. Free gifts of value of Rs. 50,000 provided by Sarabhai & Sarabhai Associates to each of its
employee is:
(a) considered as supply of goods.
(b) considered as supply of services.
(c) exempt from GST.
(d) not a supply as per Schedule I of the CGST Act, 2017. (2 Marks) (OctÕ22) Answer 4: (d)
5. Sarabhai & Sarabhai Associates is eligible to claim input tax credit of in the month of December.
(a) Rs. 50,000
(b) Rs. 20,000
(c) Rs. 3,70,000
(d) Nil (2 Marks) (OctÕ22)
Answer 5: (d)
Case Scenario (MTP March Õ23)
1. Transportation of by Poorva Logistics is exempt from GST.

(i) Defence Equipments
(ii) Railway Equipments
(iii) Organic Manure
(a) i
(b) i & ii
(c) i & iii
(d) i , ii & iii (Chapter Exemptions of GST)
Answer (c)
2. What will be the time of supply in respect of the services provided by Poorva Logistics to Bama
Steels Pvt. Ltd.?
(a) 6th May
(b) 5th May
(c) 30th May
(d) 1st April (Chapter Time of Supply)
(3 x 2 Marks = 6 Marks March ‘23)
Answer 3 (d)
Case Scenario (MTP April Õ23)
Ms. Riya is engaged in providing various goods and services. She got registered under GST in the month of April
of the current financial year under regular scheme.
She supplied a package to Dhruv Traders consisting of stapler, calculator and charger at a single price of Rs.
300 in the month of May. Rates of GST for stapler, calculator and charger are 5%, 12% and 18% respectively.
She received following payments during the month of May:
- earned Rs. 160,000 by performing western music in a cultural event at a Resort
- earned Rs. 50,000 by providing services by way of renting of residential dwelling for use as a boutique
to Supriya, an unregistered person.
- received Rs. 70,000 by way of rent for letting of agro machinery Ms. Riya made a supply during June,
details of which are as follows-
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- Basic price of the product before TCS under Income-tax Act, 1961– Rs. 45,000
- She received a subsidy of Rs. 3,500 from Green Foundation Pvt. Ltd. for usage of green energy and
the subsidy was linked to the units of energy and not aforesaid product.
Ms. Riya provides the following information regarding receipt of inward supplies during July-
- received invoice for goods having GST component of Rs. 30,000. Goods were to be delivered in 5 lots,
out of which first three lots were received in the current month.
- purchased a car having GST component of Rs. 1,50,000 for imparting training on driving such motor
vehicles.
- availed health insurance service for her employees and paid GST of Rs. 7,000 thereon. Health insurance
service is being provided voluntarily by Ms. Riya and not mandated by any law.
All the amounts given above are exclusive of taxes, wherever applicable. Further, all the supplies referred
above are intra-State supplies unless specified otherwise. Conditions necessary for claiming input tax credit
(ITC) have been fulfilled subject to the information given above. The opening balance of input tax credit for
the relevant tax period of Ms. Riya is Nil.
Based on the facts of the case scenario given above, choose the most appropriate answer to Q. Nos. 1 to 4
below:-
1. Supply of package made by Ms. Riya to Dhruv Traders is a and is taxable under GST @ .
(a) composite supply; 12%
(b) mixed supply; 18%
(c) composite supply; 18%
(d) mixed supply; 12% (Chapter Supply under GST)
Answer (b)
2. Out of payments received by Ms. Riya in month of May, value of exempt supply is _ .
(a) Rs. 50,000
(b) Rs. 70,000
(c) Rs. 1,20,000
(d) Rs. 1,60,000 (Chapter Exemptions of GST)
Answer (b)
3. Compute the value of supply under section 15 of the CGST Act, 2017 made by Ms Riya in the month
of June.
(a) Rs. 45,000
(b) Rs. 47,500
(c) Rs. 48,500
(d) Rs. 51,000 (Chapter Value of Supply)
Answer (a)
4. Compute the amount of input tax credit that can be claimed by Ms. Riya in July.
(a) Rs. 30,000
(b) Rs. 37,000
(c) Rs. 1,50,000
(d) Rs. 1,57,000 (Chapter Input Tax Credit) (4 x 2 Marks = 8 Marks )
Answer (c)
Case Scenario (RTP Nov Õ19)
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Mr. Mandeep, a registered dealer, is doing building material business in the State of Assam. He availed
architect services for his business from his friend in London free of cost. He also availed designing services
from his brother in London for Rs. 5 Lakhs for his personal purposes.
He availed services which are liable to tax under reverse charge for which date of invoice was 01.09.20XX,
payment date as per his books of account and as per his bank account was 15.11.20XX and 18.11.20XX
respectively.
His turnover for the current financial year is as follows:
Taxable supply of goods – Rs. 55 Lakhs Exempt supply of goods – Rs. 16 Lakhs
Inward supply liable to tax under reverse charge – Rs. 8 Lakh
He intends to start providing services also from the next financial year and also to avail composition scheme.
He also wishes to make supplies to the Government.
Based on the information given above, choose the most appropriate Answer for the following questions:-
I. In respect of services imported by Mr. Mandeep, which of the following is a correct statement?
i. Architect services for his business from his friend in London free of cost is considered as a
supply
ii. Designing services from his brother in London for Rs. 5 Lakh for his personal purposes is
considered as a supply.
iii. Architect services for his business from his friend in London free of cost is not considered
as a supply
iv. Designing services from his brother in London for Rs. 5 Lakh for his personal purposes is not
considered
as a supply.
(a) i & ii
(b) i & iv
(c) ii & iii
(d) iii & iv (Chapter 12 Supply under GST)
Answer (I) The Answer is (c)
II. The time of supply of services, received by him and taxable under reverse charge, is
(a) 01.09.20XX
(b) 01.11.20XX
(c) 15.11.20XX
(d) 18.11.20XX (chapter 15.1 Time of Supply)
Answer (II) The Answer is (b)
III. Aggregate turnover of Mr. Mandeep for the given financial year will be,
(a) Rs. 63 Lakhs
(b) Rs. 79 Lakhs
(c) Rs. 71 Lakhs
(d) Rs. 47 Lakhs (Chapter 13 Charge of GST)
Answer (III) The Answer is (c)
IV. Mr. Mandeep will be eligible for composition scheme in the next financial year, but he can supply
services only upto:
(a) Rs. 5.00 Lakhs
(b) Rs. 6.3 Lakhs
(c) Rs. 7.90 Lakhs
(d) Rs. 7.10 Lakhs (Chapter 13 Charge of GST)
Answer (IV) The Answer is (d)
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V. In case he supplies services to State Government by way of any activity in relation to any function
entrusted to a Municipality under Article 243W of the Constitution, in the next financial year, which
of the following will be exempt?
i. Pure Services
ii. Composite supply of goods and services in which value of supply of goods constitutes not more
than 25% of value of said composite supply
iii. Composite supply of goods and services in which value of supply of service constitutes not more
than 25% of value of said composite supply
(a) i & iii
(b) ii & iii
(c) i, ii & iii
(d) i & ii (Chapter 14 Exemptions of GST)
Answer (V) The Answer is (d)
Case Scenario (RTP Nov Õ20)
PTL Pvt. Ltd. is a retail store of merchandise located in 25 States and/or UTs in the country. For the purpose
of clearance of stock of merchandise and to attract consumers, PTL Pvt. Ltd. launched scheme of “Buy One Get
One Free” for the same type of merchandise, for instance, one shirt to be given free with purchase of one
shirt. For saving cost, PTL Pvt. Ltd. directly purchases merchandise from the manufacturers.
In the month of May, in order to save employee cost, PTL Pvt. Ltd. purchased a tempo traveller worth Rs.
12,00,000 with seating capacity of 25 persons (including driver) for transportation of its employees. Further,
for ensuring the well-being of its employees, PTL Pvt. Ltd. voluntarily obtained the health insurance cover of
Rs. 2,00,000 for each employee in the same month. The premium of Rs. 1,500 per employee has been paid by
the company for 100 employees.
In the month of July, Mr. Raghav, a customer of the company, filed a law suit in the Court, against the company
for not supplying goods of the value of Rs. 1,00,000. PTL Pvt Ltd. engaged Mr. Ram, an advocate, to represent
it in Court for an agreed consideration of Rs. 25,000. As per the terms of the contract, Mr. Ram issued an
invoice on 5th July. However, consideration was not paid till February next year.
Note - All the amounts given above are excluding taxes and all transactions are intra- State transactions. Rates
of tax are CGST - 9% and SGST – 9%. However, for tempo traveller, the rates of taxes are CGST - 14% and
SGST – 14%.
In relation to the above, Answer the following questions:
1. With respect to “Buy One, Get One” offer, which of the following statements is true:
(a) It will not be considered as supply at all since no consideration is involved in one of the items.
(b) Supply of item for which consideration is charged is a supply under section 7 of the CGST Act,
2017 while supply of the other item supplied free of cost is not a supply.
(c) These are two individual supplies where a single price is charged for the entire supply. Since a
single price is charged, the same will always be taxed as a mixed supply.
(d) These are two individual supplies where a single price is charged for the entire supply. Their
taxability will depend upon as to whether the suppl y is a composite supply or a mixed supply. (chapter
12 Supply under GST)
Answer (i) The Answer is (d)
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2. Eligible input tax credit for the month of May (i) on the purchase of tempo traveller and (ii) on health
insurance premium paid (assuming that all other conditions, for availing input tax credit have been
complied with) is:
(a) (i) CGST - Nil, SGST - Nil and (ii) CGST - Nil, SGST - Nil
(b) (i) CGST - Rs. 1,68,000, SGST - Rs. 1,68,000 and (ii) CGST - Nil, SGST - Nil
(c) (i) CGST - Nil, SGST - Nil and (ii) CGST - Rs. 18,000, SGST - Rs. 18,000
(d) (i) CGST - Rs. 1,68,000, SGST - Rs. 1,68,000 and (ii) CGST - Rs. 18,000, SGST - Rs.
18,000(Chapter 16 Input Tax Credit)
Answer (ii) The Answer is (b)
3. Which of the following statements is true in respect of the services of advocate availed by the
company?
(a) CGST-Rs. 2,250 and SGST- Rs. 2,250 on advocate services are payable by PTL Pvt Ltd. ITC
availed thereon is to be added to its output tax liability with interest as consideration along with tax
is not paid within 180 days of the issuance of invoice.
(b) CGST-Rs. 2,250 and SGST- Rs. 2,250 on advocate services are payable by Mr. Ram. ITC availed
thereon is to be added to output tax liability of PTL Pvt Ltd. with interest as consideration along with
tax is not paid within 180 days of the issuance of invoice.
(c) CGST-Rs. 2,250 and SGST- Rs. 2,250 on advocate services are payable by PTL Pvt. Ltd. The
condition of payment of consideration along with tax within 180 days of the issuance of invoice does
not apply in the given case.
(d) CGST-Rs. 2,250 and SGST- Rs. 2,250 on advocate services are payable by Mr. Ram. The
condition of payment of consideration along with tax within 180 days of the issuance of invoice does
not apply in the given case.(Chapter 19 Payment of Tax)
Answer (iii) The Answer is (c)
Case Scenario (RTP May ‘21)
M/s Aditi & Co, a partnership firm registered under GST, is undertaking various Government projects. The
firm has let out on hire the following vehicles-
i. A motor vehicle to carry more than 15 passengers to a State Government Electricity Department
ii. An electric motor vehicle to carry more than 12 passengers to Local Municipal Corporation
iii. An electric motor vehicle to carry upto 12 passengers to State Transport Undertaking
The firm provided the following additional information for the month of October:
i. Works contract services were availed for construction of immovable property being plant and
machinery, where value of GST component was Rs. 1,10,000.
ii. GST amounting to Rs. 70,000 was paid on account of demand of the Department due to fraud in returns
filed.
iii. Goods valuing Rs. 10,00,000, (GST on the same Rs. 1,00,000) were received 180 days ago (invoice also
issued on the date of receipt of supply) for which payment has been made till date to an extent of Rs. 4,00,000
towards value, Rs. 40,000 towards tax.
The firm made two independent outward supplies in which value of supply was understated in one case by Rs.
75,000 and overstated by Rs. 45,000 in the other case.
The firm received certain supply of goods from registered persons on which tax was payable under reverse
charge basis.
All the amounts given above are exclusive of taxes, wherever applicable. All transactions referred to above are
intra-State. All the conditions for availing ITC have been fulfilled subject to the information given above.
From the information given above, choose the most appropriate Answer for Q. 1 to Q. 5 given below:-
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1. In respect of vehicles let out on hire by the firm, services that are exempt from GST are
(i) Letting on hire a motor vehicle to State Electricity Department (>15 passengers)
(ii) Letting on hire an electric vehicle to Local Municipality (> 12 passengers)
(iii) Letting on hire an electric vehicle to State Transport Undertaking (<12 passengers)
(a) (i)
(b) (ii)
(c) (i) and (iii)
(d) (ii) and (iii) (chapter 14 Exemptions of GST)
Answer (1) The Answer is (b)
2. Determine the amount of eligible ITC to be claimed by the firm for the month of October.
(a) Rs. 70,000
(b) Rs. 1,10,000
(c) Rs. 1,80,000
(d) Nil (chapter 16 Input Tax Credit)
3. Determine the amount of ITC to be added to the output tax liability.

(a) Rs. 40,000
(b) Rs. 60,000
(c) Rs. 1,00,000
4. Which of the following is correct in respect of document to be issued by the firm for
understatement and overstatement of invoice value?
(i) Debit note is to be issued for Rs. 75,000.
(ii) Credit note is to be issued for Rs. 75,000.
(iii) Debit note is to be issued for Rs. 45,000.
(iv) Credit note is to be issued for Rs. 45,000.
(a) i & iii
(b) ii & iii
(c) i & iv
(d) ii & iv (chapter 18 Tax Invoice, Credit & Debit Note, E-way Bill)
Answer (4) The Answer is (c)
5. Which of the following statements is correct in respect of supply of goods received by the firm
which are taxable under reverse charge?
(i) Firm shall issue a payment voucher at the time of making payment to supplier.
(ii) Firm shall issue invoice for supply of goods.
(iii) Firm shall issue receipt voucher at the time of making payment to supplier.
(iv) Firm is not required to issue any document in respect of such supply.
(a) i
(b) i & ii
(c) ii & iii
(a) iv (Chapter 13 Charge of GST )
Answer (5) The Answer is (a)
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Case Scenario (RTP Nov ‘21)
MM Charitable Trust is registered under section 12AA of the Income-tax Act, 1961.
The trust conducted a three day residential yoga camp among people on the occasion of International yoga day
for the advancement of yoga and charged Rs. 7,500 per person inclusive of stay and food.
The trust also conducted programmes for the advancement of education of persons aged above 65 years in
metro cities. A nominal fee was charged for the same.
The trust received following donations during the month of September:-
i. Solid Steels Pvt. Ltd. donated a RO water plant to the trust costing Rs. 75,000 and displayed its
company name in the RO system installed at the premises of the trust as “Donated by Solid Steels Private
Limited-trusted by allÕ.
ii. Mr. Prasanna, a lawyer donated chairs to the trust costing Rs. 25,000 and ‘Love allÕ is printed on all
chairs donated by him to the trust.
The following are the details of GST payment made by the firm-
i. GST of Rs. 1,75,000 was paid for the purchase of motor vehicle for transportation of needy persons
(Seating capacity including driver is 13).
ii. GST of Rs. 2,45,000 was paid for works contract services availed from Super Builders for construction
of TrustÕs office building.
MM Charitable Trust also owns and manages a gurudwara. It rented the community hall located in the precincts
of the gurudwara for a rent of Rs. 8,500 per day for a marriage function. It also rented the commercial shop
located in the precincts of the gurudwara for a rent of Rs. 10,000 per month per shop.
You can assume that the Trust is registered under GST and all the transactions are intra - State only.
Conditions for availing ITC are fulfilled subject to the above- mentioned information.
Based on the information given above, choose the most appropriate Answer for the following questions [1 to
4]-
1. Which of the following activities conducted by trust is exempt from GST?

(a) Advancement of Yoga
(b) Advancement of education
(d) Neither of the activities (chapter 14 Exemptions of GST)
Answer (1) The Answer is (a)
2. Compute the amount of input tax credit that can be claimed by the Trust?
(a) Rs. 1,75,000
(b) Rs. 2,45,000
(c) Rs. 4,20,000
Answer (3) The Answer is (d)
3. Which of the following statements is/are correct under GST law in respect of gurudwara managed
by MM Charitable Trust?
(a) Renting of community hall is taxable while renting of commercial shop is exempt.
(b) Renting of community hall is exempt while renting of commercial shop is taxable.
(c) Both renting of community hall and renting of commercial shop are taxable.
(d) Both renting of community hall and renting of commercial shop are exempt. (chapter 14
Exemptions of GST)
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Vidhula Impex Ltd. is engaged in supplying sports goods. The company did not opt for registration under GST.
The proper officer under GST, based on enquiry, finds that the concern is liable for registration and he
registers the firm on temporary basis on 15th June, 2020.
After being granted the registration certificate, the company availed the following services for the purpose
of its business-
i. Renting of motor vehicles from Blue Taxi Pvt. Ltd. where GST was charged @ 12%.
ii. Appointed Mr. Rajesh as Technical Director for advisory role in business and the payment was made
based on the contract entered. However, he was not employee of the company.
During the course of its business, the company issued an invoice to a customer and erroneously charged higher
value by Rs. 34,000. Such invoice was issued on 28th February, 2021.
Further, in the month of February 2021, the company also generated an e-way bill for inter-State transport
of goods. However, immediately on generation of the e-way bill, the buyer cancelled the order before it is
dispatched from the factory for delivery.
In the month of March 2021, since the company was incurring heavy losses, it applied for cancellation of GST
registration on 15th March, 2021. The order for cancellation was made on 30th March, 2021 effecting
cancelling the registration with effect from 15th March, 2021. From the information provided above, choose
the most appropriate Answer for the following questions (1-5):
1. After the grant of temporary registration, Vidhula Impex Ltd. needs to apply for registration
within from the date of grant of temporary registration, if no extension of period is to be granted
for such temporary registration.
(a) 30 days
(b) 90 days
(c) 7 days
(d) 15 days (chapter 17 Registration)
2. In case of which of the following services, the company is liable to pay tax under reverse charge?
(a) Renting of Motor Vehicles
(b) Directorship services
(d) Neither (a) nor (b) (chapter 13 Charge of GST)
3. Which document is required to be issued by the company in respect of the invoice issued on 28th
February, 2021?
(a) Debit note
(b) Credit note
(c) Bill of supply
(d) Revised Tax invoice (chapter 18 Tax Invoice, Credit & Debit Note, E-way Bill) Answer (3)
The Answer is (b)
4. The Company needs to file its Final return by

(a) 30th April, 2021
(b) 30th August, 2021
(c) 15th June, 2021
(d) 30th June, 2021 (chapter 20 Returns)
Answer (4) The Answer is (d)
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5. Which of the following statements is correct in respect of e-way bill generated for goods in the
month of February for which order was cancelled?
(a) Once generated, e-way bill cannot be cancelled.
(b) E-way bill can be cancelled within 24 hours of generation
(c) E-way bill can be cancelled within 48 hours of generation
(a) E-way bill can be cancelled within 72 hours of generation (chapter 18 Tax Invoice, Credit &
Debit Note, E-way Bill)
M/s. Delight Brothers, a partnership firm, is engaged in restaurant business. It is registered under the
composition levy scheme under section 10(1) and 10(2) of the CGST Act, 2017 for the current financial year.
ItÕs turnover in the State for the month of April was Rs. 12,00,000.
It received new orders in the month of May to run a mess facility for supplying food at:
i. Vishwas Public School, a higher secondary school;
ii. Knowledge Institute of Technology, an engineering college, approved by AICTE and UGC; and
iii. Frontline Hospital
It also provided catering services to a Coral limited company for their Annual General Meeting. Service was
provided on 3rd July. But invoice was not issued by the firm to the company. However, payment was received
on 25th July for which bank account was credited on 28th July. The turnover of restaurant business for the
current financial year is Rs. 48,00,000.
From the inception of next financial year, M/s. Delight Brothers will close down the restaurant business and
will provide service of repairing of air conditioners.
M/s Delight Brothers undertakes intra-State transactions only.
Based on the information given above, choose the most appropriate Answer for the following questions-
1. Compute the tax liability of M/s. Delight Brothers for the month of April?
(a) CGST & SGST of Rs. 6,000 each
(b) CGST & SGST of Rs. 12,000 each
(c) CGST & SGST of Rs. 30,000 each
(d) CGST & SGST of Rs. 60,000 each (NovÕ22)
Answer 1: (c) CGST & SGST of Rs. 30,000 each
2. Out of new orders received by the firm in May, which of the following services are exempt from
GST?
(i) Service provided to Vishwas Public School
(ii) Service provided to Knowledge Institute of Technology
(iii) Service provided to Frontline Hospital
(a) (i) and (iii)
(b) (ii) and (iii)
(c) only (i)
(d) (i) and (ii)(NovÕ22)
Answer 2 (c) only (i)
3. Time of supply of catering services provided to a Coral limited company is

(a) 3rd July
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(b) 25th July

(c) 28th July
(d) 2nd August(NovÕ22)
Answer 3 (a) 3rd July
4. Which of the following statements is most appropriate in respect of next financial year for M/s
Delight Brothers?
(a) M/s Delight Brothers can continue to avail composition levy scheme under section 10(1) and
10(2) of the CGST Act, 2017.
(b) M/s Delight Brothers is not eligible to avail composition levy scheme under section 10(1) and
10(2) of the CGST Act, 2017.
(c) M/s Delight Brothers is not eligible to avail composition levy scheme under section 10(1) and
10(2) of the CGST Act, 2017, but can avail benefit of composition levy under section 10(2A) of the
CGST Act, 2017.
(d) M/s Delight Brothers can neither avail composition levy scheme under section 10(1) and 10(2)
of the CGST Act, 2017 nor under section 10(2A) of the CGST Act, 2017. (NovÕ22)
Answer 4 (C)
5. Rate of GST applicable for service of repairing of air conditioners made by M/s Delight Brothers will
be, assuming that it intends to pay the tax at the minimum rate available?
(a) 1%
(b) 5%
(c) 6%
(d) 12%
Answer 5 (c) 6%
Manavtaa Trust is a charitable trust registered under section 12AB of the Income-tax Act, 1961. The trust is
well known for its educational, charitable and religious activities. The trust became liable to registration under
GST in the current financial year since it exceeded the threshold limit for registration and thus, got itself
registered in the State of Gujarat in the month of May.
In the month of June, a multinational company, Dhruvtara Ltd., gifted 500 laptops worth Rs. 50 lakh to the
trust free of cost for the charitable purposes, without any intention of seeking any business promotion from
the same. Manavtaa Trust distributed these laptops for free in the same month to the needy students for
facilitating them in their higher studies.
Manavtaa Trust owns a higher secondary school – Manavtaa Higher Secondary School - in Gujarat. In the month
of July, the trust availed security personnel services from ‘Perfect Security SolutionsÕ, Gujarat, a
proprietorship concern, for security of the school premises for a consideration of Rs. 2,00,000. It also
received legal consultancy services from ‘Maya & Co.Õ a firm of advocates for the issues relating to the said
school for Rs. 1,20,000, in the same month.
Manavtaa Trust furnished the following information regarding the expenses incurred by it in the month of
August; all transactions being inter-State:
(i) Services received and used for supplying taxable outward supplies – Rs. 3,50,000.
(ii) Catering services received for students of Manavtaa Higher Secondary School – Rs. 2,00,000.
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(iii) Buses purchased with seating capacity of 25 persons including driver – Rs. 10,50,000 (Buses were
delivered in the first week of September).
Manavtaa Trust provided the following information in respect of the services provided by it during the month
of August:
(i) It runs an old age home for senior citizens. Nominal monthly charges of Rs. 15,000 for boarding, lodging
and maintenance are charged from each member. Total number of members is 20.
(ii) It rents out a community hall situated within the precincts of a temple managed by it on 15th August
for a religious function in first half for Rs. 5,000 and for an art exhibition in second half for
Rs. 6,000.
(iii) It rents out the rooms in the precincts of said temple to the devotees for a rent of Rs. 950 per room
per day. Total rent collected in August amounts to Rs. 35,000.
All the figures given above are exclusive of taxes wherever applicable. Aggregate turnover of Manavtaa Trust
for the preceding financial year was Rs. 15 lakh. All the conditions necessary for availment of ITC are fulfilled
subject to the information given. Manavtaa Trust intends to avail exemption from GST wherever applicable.
Based on the information given above, choose the most appropriate answer to the following questions-
1. Which of the following activities of Manavtaa Trust does not amount to supply under the GST law?
(a) Free laptops distributed to the needy students
(b) Boarding, lodging and maintenance of the senior citizens by the old age home run by the
trust
(c) Renting of community hall situated within the precincts of the temple managed by the trust
(d) Renting of rooms in the precincts of the temple managed by the trust
Answer (a)
2. Compute the value of inward supplies on which tax is payable by Manavtaa Trust under reverse
charge, for the month of July.
(a) Rs. 2,00,000
(b) Rs. 3,20,000
(c) Rs. 1,20,000
(d) Nil
Answer (d)
3. Compute the value of exempt supply made by Manavtaa Trust for the month of August.
(a) Rs. 3,00,000
(b) Nil
(c) Rs. 3,35,000
(d) Rs. 35,000
Answer (c)
4. Compute the value of taxable supply made by Manavtaa Trust for the month of August.
(a) Rs. 3,00,000
(b) Rs. 11,000
(c) Nil
(d) Rs. 35,000
Answer (b)
5. Determine the amount of ITC that can be credited to the Electronic Credit Ledger of Manavtaa
Trust, in the month of August assuming rate of GST to be 18%.
(a) Rs. 36,000
(b) Rs. 63,000
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(c) Rs. 1,89,000

(d) Rs. 2,88,000
Answer (b)
Bali Bells Ltd. (hereinafter referred as Bali Bells), a private limited company registered in Chennai, Tamil Nadu,
provides the following outward supplies in the month of September:
Particulars Amount (Rs. )
Taxable Exempt
Intra-State outward supplies 40,00,000 15,00,000
Inter-State outward supplies 30,00,000 10,00,000
Bali Bells Ltd. sold land for Rs. 2,00,00,000 (excluding GST) in the month of September. Bali Bells purchased
one heavy steel machinery in the month of September for Rs. 1,00,000 (excluding GST @ 18%). Bali Bells
capitalized the value of machinery along with GST paid on the same in its books of accounts and claimed
depreciation on the full value of machinery as well as on GST amount.
Apart from this, Bali Bells has a tax invoice dated 25th July of last financial year with respect to an inward
supply of Rs. 50,000 (excluding GST @ 18%). The company has not availed ITC on said invoice yet.
Bali Bells distributed some free samples of goods in the month of October to its customers to promote its
sales.
Bali Bells made a supply during November, details of which are as follows-
- Basic price of the product before TCS under Income Tax Act, 1961 – Rs. 45,000
- It received a subsidy of Rs. 3,500 from Bharat Foundation Pvt. Ltd. for usage of green energy and the
subsidy was linked to the units of energy saved and not aforesaid product.
Bali Bells has not furnished its annual return for the preceding financial year till the end of November and will
furnish it in the month of December of the current financial year.
Assume that there is no other outward or inward supply transaction apart from aforesaid transactions, in the
months of September, October and November. All the amounts given above are exclusive of taxes, unless
otherwise specified.
Based on the facts of the case scenario given above, choose the most appropriate answer to
1. Determine the aggregate turnover of Bali Bells for the month of September.
(a) Rs. 2,70,00,000
(b) Rs. 95,00,000
(c) Rs. 2,95,00,000
(d) Rs. 70,00,000 (Chapter Charge of GST)
Answer (b)
2. Bali Bells wants to avail ITC on GST paid on the heavy steel machinery purchased in September. Which
of the following statements is true in this regard?
(a) ITC on the machinery cannot be availed since depreciation has been claimed on the GST paid on
the machinery under Income-tax Act, 1961.
(b) ITC on the machinery shall be allowed to the extent of 50% in the current financial year and
balance 50% in the subsequent financial year.
(c) ITC on the machinery shall be allowed in the current financial year only to the extent of the
depreciation claimed on GST paid on machinery.
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(d) Full ITC of GST paid on the machinery can be availed in the current year. (Chapter Input Tax
Credit)
Answer (a)
3. Whether Bali Bells can avail ITC on the free samples of goods distributed in the month of October?
(a) Yes; ITC is available on outward supplies even if made without consideration in the course or
furtherance of business.
(b) No; ITC is not available since supply of samples is without consideration.
(c) No; ITC on free samples is blocked under section 17(5) of the CGST Act, 2017.
(d) No; ITC is not available since supply of free samples is not in course or furtherance of business.
(Chapter Input Tax Credit)
Answer (c)
4. Compute the value of supply under section 15 of the CGST Act, 2017 made by Bali Bells in the month
of November?
(a) Rs. 45,000
(b) Rs. 47,500
(c) Rs. 48,500
(d) Rs. 51,000(Chapter Value of Supply)
Answer (a)
Case Scenario (MTP March 24)
XYZ Electronics Pvt. Ltd. is a leading electronic goods manufacturing company in Delhi. The company produces
a wide range of products, including smartphones, laptops, and home appliances.
The sales by the Company are mainly through its distributors on the following credit terms:
For laptops – up to 15 days
For smartphones – up to 90 days
For other home appliances – up to 45 days
During the year, the Company purchased plant and machinery worth Rs 1 crore exclusive of GST. The GST rate
for such plant and machinery is 18%. The input tax credit on such plant and machinery is not blocked under any
provision of the CGST Act, 2017.
The Company is planning to demerge its operations in relation to the laptops and other computer accessories
from the next financial year. The demerged entity will be a separate legal entity of the Company in form of a
wholly owned subsidiary of the Company having common Board of Directors.
The Company also participates in domestic and international level trade fairs to showcase its products and sale
through those events. The Electronics Association of Rajasthan is organising a trade fair in Jaipur. The
Company is keen to participate in the same. To ensure the GST compliances, the Company wants to obtain the
GST registration as casual taxable person in the state of Rajasthan. The Company obtained the GST
registration as casual taxable person in the state of Rajasthan with the validity period of 45 days.
The Company transferred the goods from one of its godown in Delhi to another godown in Gujarat wherein the
Company has a registered place of business. The value of goods transferred is Rs 5 crores and the rate of GST
applicable on such transfer is 18%. The tax invoice was issued, and GST was deposited by the Company. However,
the consideration was not paid by the Gujarat office of the Company to the Delhi office even after 180 days
of the invoice date. Further, there was no reverse movement of such goods from Gujarat godown to Delhi
Godown.
Based on the information provided above, choose the most appropriate answer for the following questions-
(6 x 2 Marks = 12 Marks)
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1 What shall be the time limit to issue invoice for supply of smartphones on credit:
(a) Invoice shall be issued on 31st day from the date of removal of smartphones to distributors.
(b) Invoice shall be issued before or at the time of removal of smartphones to distributors.
(c) Invoice shall be issued at the time of receiving payment from distributors.
(d) Invoice shall be issued upon completion of credit term, i.e. 90 days.
Answer (b)
2 In relation to the plant and machinery purchased by the Company, select the correct alternative from
the following:
(a) ITC of Rs 18 lakh can be claimed and value of asset on which depreciation can be claimed under
the provisions of Income- Tax Act, 1961 shall be Rs 1.18 crore.
(b) ITC of Rs 18 lakh can be claimed and value of asset on which depreciation can be claimed under
the provisions of Income- Tax Act, 1961 shall be Rs 1 crore.
(c) ITC cannot be claimed in such transaction and value of asset on which depreciation can be claimed
under the provisions of Income- Tax Act, 1961 shall be Rs 1 crore.
(d) ITC of Rs 18 lakh can be claimed and value of asset on which depreciation can be claimed under
the provisions of Income- Tax Act, 1961 shall be Rs 82 lakh.
Answer (b)
3 How shall the demerged entity be treated under the provisions of GST Law?
(a) The demerged entity shall be treated as related party of the Company.
(b) The demerged entity shall be treated as distinct entity of the Company.
(c) The demerged entity shall be treated as additional place of business of the Company.
(d) The demerged entity shall be treated as sole selling agent of the Company.
Answer (a)
4 The period of retention of books of accounts related to period prior to demerger under GST Law is:
(a) 36 months from the end of financial year
(b) 60 months from the end of financial year
(c) 72 months from the end of financial year
(d) 72 months from due date of furnishing annual return for the relevant financial year
Answer (d)
5 The validity of GST registration as a casual taxable person in the state of Rajasthan is:
(a) 45 days
(b) 90 days
(c) 180 days
(d) 135 days
Answer (a)
6 Which of the following statements is true in relation to the non-payment of consideration by the
Gujarat godown to Delhi godown?
(a) The Gujarat godown shall reverse the ITC availed on the goods received from Delhi and also
required to pay interest computed from the date of invoice till the date of reversal of ITC.
(b) The Gujarat godown shall reverse the ITC availed on the goods received from Delhi and no interest
shall be applicable.
(c) The restriction of 180 days for payment of consideration is not applicable in the present case.
(d) The Delhi godown shall issue a credit note to Gujarat godown to reverse the supply.
Answer (c)
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Case Scenario (MTP April 24)
Ecotech Solutions Private Limited is engaged in manufacturing and supply of energy products and solutions
across multiple States in India. The Company manufactures solar panels and also imports certain category of
solar panels as per the customer orders. The company also provides installation services and annual maintenance
contracts for its products.
The Company received an advance payment for a bulk order of goods in March 2024, but the delivery was
completed in May 2024. The amount of advance received by the Company was Rs 1 crore.
During the month of March 2024, the Company sold goods worth Rs 5 crores and provided services amounting
to Rs 1 crore to its customers across India. The goods worth Rs 1 crore sold under multiple invoices were
returned by a customer due to defective quality in the month of March, 2024 which were originally sold by the
Company in December, 2023. The Company issued a GST credit note against the returned goods in March, 2024.
The Company incurred an amount of Rs 5 lakh on the repair of the returned goods to make them resalable in
the market to customers other than a related party.
Further, the customers who returned the goods issued an invoice to Gujarat unit of the Company of Rs 1 lakh
for the expense related to return of goods. The goods were initially sold from the Gujarat unit of the Company
but the same were returned to Maharashtra unit of the Company and subsequently moved by the Company from
Maharashtra unit to Gujarat Unit i.e. the original place of supply. The Company is registered under GST in both
the States i.e. Gujarat and Maharashtra.
below:-
1 At what point of time, tax will be payable in relation to the advance received by the Company of Rs 1
crore?
(a) The tax is payable at the time of receipt of advance.
(b) The tax is payable at the time of supply of goods.
(c) 50% of tax is payable at the time of receipt of advance.
(d) Tax is payable at the time of issuance of receipt voucher.
Answer (b)
2 The total amount of supply during the month of March, 2024 to be reported in GSTR -1 by the Company
is .
(a) Rs 1 crore
(b) Rs 5 crores
(c) Rs 6 crores
(d) Rs 7 crore
Answer (b)
3 Which of the following options is correct in relation to the returned goods of value Rs 1 crore ?
(a) Company has an option to issue single credit note against multiple invoices.
(b) Company has to mandatorily issue credit note against each invoice.
(c) The Company cannot issue credit note in any subsequent period after the supply is made.
(d) The Company can only issue a commercial credit note and GST adjustment cannot be made.
Answer (a)
4 In case returned goods are sold by the Company to customers other than the related parties, the value
of supply of such goods under GST shall be
(a) equivalent to original value of supply only.
(b) equivalent to original value of supply plus the cost incurred on making the goods reusable
(c) 110% of original value of supply plus the cost incurred on making the goods reusable.
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(d) transaction value subject to the conditions mentioned in Section 15(2) of the CGST Act, 2017.
Answer (d)
5 Which of the following option(s) is correct in relation to the invoice of 1 lakh issued by the customer
for the expenses relating to returned goods?
(a) The Company shall be eligible to avail full input tax credit.
(b) The Company shall not be allowed to avail input tax credit.
(c) The Company shall not be allowed to avail input tax credit in excess of 50% of the tax amount
charged on such invoice.
(d) The Company shall be allowed to claim input tax credit only if it has not issued any credit note
to the customer against such returned goods.
Answer (a)
6 While moving the goods from Maharashtra unit to Gujarat unit by the Company, goods shall be
accompanied by .
(a) Original invoice issued in December, 2023
(b) Invoice issued by the returning customer to the Gujarat unit of the Company
(c) Invoice by Maharashtra unit to the Gujarat unit of the Company
(d) Delivery challan issued by the Customer to the Company.
Answer (c)
Case Scenario (RTP Mar 24)
ABC Ltd. has its manufacturing unit in the State of Rajasthan. Further, it has ancillary units in the State of
Madhya Pradesh and Gujarat and is registered in each of these States. Moreover, ABC Ltd. owns and operates
a hotel in Udaipur, Rajasthan.
In addition to the aforesaid, ABC Ltd. owns a commercial space which is rented out to a registered person at
the monthly rent of Rs 50,000. The maintenance of the premises is the responsibility of ABC Ltd. In pursuance
of the same, during the month of April, ABC Ltd. incurred certain expenses on the purchase of maintenance
related materials. The said expenses are recoverable from the tenant alongwith the invoice issued for rent.
The rate of tax applicable on the material used for maintenance was 5%.
During the year, ABC Ltd. agreed to provide the hotel to Mr. X for a business conference to be held at Udaipur.
Mr. X is an unregistered person residing in Maharashtra.
ABC Ltd. made a supply of machinery in the month of June, details of which are as follows-
- Basic price of the machinery before TCS under Income Tax Act, 1961– Rs 45,000
Tax collected at source under Income-tax Act, 1961 – Rs 2,500
- It received a subsidy of Rs 3,500 from Green Foundation Pvt. Ltd. for usage of green energy and the
subsidy was linked to the units of energy saved and not aforesaid machinery.
In addition to the aforesaid transactions, ABC Ltd. spent an amount of Rs 5 lakh on the procurement of certain
goods which were distributed as part of the corporate social responsibility [CSR] expenditure required under
the provisions of the Companies Act, 2013.
During the scrutiny proceedings in the State of Gujarat, jurisdictional GST officer asked ABC Ltd to submit
the copy of audited financial statements for Gujarat and was of the view that ABC Ltd. is required to get his
accounts audited by a Chartered Accountant separately under GST Law for filing annual return and
reconciliation statement in each State.
All above amounts are exclusive of GST, wherever applicable. The rate of GST on all inward and outward supplies
is 18%, unless otherwise mentioned.
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Assume that there is no other outward or inward transaction apart from aforesaid transactions.
below:-
1 For the transaction related to renting of commercial space, what should be the rate of tax charged by
ABC Ltd.?
(a) The rate of GST on rent and maintenance material related recovery shall be 18%.
(b) The rate of GST on rent shall be 18% and, on the material, shall be 5%.
(c) No GST shall be charged on the recovery related to material used in maintenance. Rate of GST
on rent shall be 18%.
(d) The rate of GST on rent and maintenance material related recovery shall be 5%.
Answer (a)
2 Compute the value of supply under section 15 of the CGST Act, 2017 made by ABC Ltd. in the month of
June?
(a) Rs 45,000
(b) Rs 47,500
(c) Rs 48,500
(d) Rs 51,000
Answer (a)
3 With respect to the hotel accommodation service provided to Mr. X, GST payable by ABC Ltd. is __
_.
(a) nil, GST on accommodation service is payable by the recipient, Mr. X, under reverse charge
(b) nil, GST on accommodation services provided to an unregistered person is exempt from GST
(c) in the nature of CGST and SGST
(d) in the nature of IGST
Answer (c)
4 Which of the following options is correct with regard to the availability of ITC to ABC Ltd. in respect
of GST paid on the procurement of goods meant for the purpose of corporate social responsibility
activity?
(a) The amount of ITC related to such procurement of goods is not available to ABC Ltd.
(b) The amount of ITC related to such procurement of goods is available to ABC Ltd.
(c) The amount of ITC only to the extent of 50% of amount of such procurement of goods is
available to ABC Ltd.
(d) The amount of ITC shall be available to the registered person to whom such goods are
distributed under CSR activity.
Answer (a)
5 Which of the following options is correct with regard to the advice given by GST officer in respect of
auditing of accounts?
a. There is no requirement of separate audit of the financial statements from the perspective of
GST provisions.
(b) Only reconciliation statement shall be audited by a Chartered Accountant.
(c) The annual return as well as the reconciliation statement shall be audited by a Chartered
Accountant.
(d) Separate audit of financial statements at each State level is required by ABC Ltd. under the GST
law.
Answer (a)
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Case Scenario (MTP July 24)
Himadri started providing a bouquet of goods and services in the month of April of the current financial year
under the regular scheme in the State of Telangana and obtained voluntary registration under GST before
starting the business.
In the month of April, she availed the services of construction of a godown for the business from her brother-
in-law who was financially dependent on him. She also availed professional consultancy services in April for her
business from her son who is a well settled Chartered Accountant in Telangana. Himadri did not pay any
consideration for both these services as both of them were her relative/ family member respectively.
In April, she supplied 1,000 packages to Natraj Traders each consisting of a pen holder, a pen and a pencil box
at a single price of Rs. 150. Rates of GST for pen holder, pen and pencil box are 5%, 12% and 18% respectively.
She received following payments during the month of May:
 earned Rs. 1,60,000 by providing services as business facilitator to YYZ Bank with respect to accounts in
its urban area branch
 earned Rs. 50,000 by providing services by way of renting of residential dwelling for use as a boutique to
Supriya, an unregistered person.
 received Rs. 70,000 for supply of manpower for cleanliness of roads, public places, architect services,
etc., not involving any supply of goods, to Municipality.
Himadri made supply of taxable Product A during June, details of which are as follows-
Basic price of Product A before TCS under Income-tax Act, 1961– Rs. 45,000
Tax collected at source under Income-tax Act, 1961 – Rs. 2,500
She received a subsidy of Rs. 55,000 from Habitat Foundation Pvt. Ltd. for usage of green energy and the
subsidy was linked to the units of green energy and not the aforesaid product.
Himadri provides the following information regarding receipt of inward supplies during July-
purchased buses (seating capacity of 24 persons) for transportation of her employees from their residence to
office and back. Depreciation is claimed on the GST component under the Income tax Act, 1961.
purchased a truck having GST component of Rs. 1,50,000 for transportation of finished goods. No depreciation
claimed on the GST component under the Income tax Act, 1961.
availed outdoor catering services for a marketing event organised for her prospective customers.
All the amounts given above are exclusive of taxes, wherever applicable. Further, all the supplies referred
above are intra-State supplies unless specified otherwise. Conditions necessary for claiming input tax credit
(ITC) have been fulfilled subject to the information given above. The opening balance of input tax credit for
the relevant tax period of Himadri is Nil.
below:-
1 Supply of package made by Himadri to Natraj Traders is a ______________

and is taxable under GST @ _.
(a) composite supply; 12%
(b) mixed supply; 18%
(c) composite supply; 18%
(d) mixed supply; 12%
Answer (b)
2 Out of payments received by Himadri in month of May, value of exempt supply is _.

(a) Rs. 50,000
(b) Rs. 70,000
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(c) Rs. 1,20,000

(d) Rs. 1,60,000
Answer (b)
3 Compute the value of supply under section 15 of the CGST Act, 2017 made by Himadri in the month of
June.
(a) Rs. 45,000
(b) Rs. 47,500
(c) Rs. 48,500
(d) Rs. 51,000
Answer (a)
4 Compute the amount of input tax credit that can be claimed by Himadri in July.
(a) Rs. 30,000
(b) Rs. 37,000
(c) Rs. 1,50,000
(d) Rs. 1,57,000
Answer (c)
5 In respect of services availed by Himadri in April, which of the following is a correct statement?
(a) Godown construction service availed from her brother-in-law free of cost is considered as a
deemed supply.
(b) Professional service availed from her son free of cost is considered as a deemed supply.
(c) Neither of the two services availed by her is a deemed supply.
(d) Both services availed by her are deemed supply.
Answer (b)
6 Out of payments received by Himadri in month of May, the value of supply on which tax payable by the
recipient under reverse charge is _.
(a) Rs. 50,000
(b) Rs. 70,000
(c) Rs. 1,20,000
(d) Rs. 1,60,000
Answer (d)
Case Scenario (MTP August 24)
XYZ Private Limited is a mid-sized company, registered in Delhi, dealing in the manufacturing and distribution
of electronic goods in India. The company has been operating for over a decade and has a robust supply chain
network
across the Country. The Company needs to ensure compliance with various GST regulations related to return
filing, registration, and payment of tax.
The company is exploring to expand its sales channel in India through distributors in each State. In view of the
same, the company has undertaken following activities in the month of June.
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a) Organized a distributor conclave in Udaipur, Rajasthan, where the distributors from Rajasthan, Gujarat
and Madhya Pradesh participated in the conclave held in Rajasthan. The total cost of hotel accommodation was
Rs. 25 lakh, which was paid by the Delhi office to the Hotel located in Rajasthan.
b) The company purchased certain gift items for distribution to the participants in the conclave.
The gift items were purchased from the vendor located in Ludhiana, Punjab and were delivered to the
hotel in Udaipur, Rajasthan for distribution to the participants of the conclave. The cost of such gift items
was Rs. 25 lakh. However, the value of individual gift items was restricted to Rs. 75,000.
c) The company purchased an insurance policy for its employees travelling for the conclave and the
premium for such insurance policy was Rs. 1 lakh which was paid by the company. There is no requirement under
any law requiring such insurance policy.
d) The company took on rent, a new warehouse near its factory in Delhi for storage and dispatch of goods.
The goods are being transported between the factory and new warehouse in non-motorized cart. The value of
such goods transported in single trip is up to Rs. 5 lakh. Further, the rent of warehouse is Rs. 18 lakh for the
initial 11 months and the same shall be revised to Rs. 21 lakh after expiry of initial 11 months.
The rate of tax applicable is 18% IGST, 9% CGST and SGST each unless otherwise specified.
On the basis of the facts given above, choose the most appropriate answer to
Q.1 to Q.5 below -
1 Which of the following statements is correct under GST law in relation to the hotel accommodation
service received by the Company?
a) The hotel shall charge CGST and SGST in the invoice issued to the Company.
b) The Hotel shall charge IGST in the invoice issued to the Company
c) The Hotel shall issue a bill of supply to the Company.
d) The Hotel shall charge CGST and SGST to the extent the charges are related to participants
of Rajasthan and IGST to the extent charges are related to the participants of Gujarat and Madhya
Pradesh, on the invoice issued to the Company.
Answer (a)
2 What shall be the place of supply in relation to the gift items purchased by XYZ Private Limited?
a) Rajasthan i.e. the location where the goods were received
b) Delhi i.e. the principal place of business of the Company
c) Punjab i.e. the location from where the goods were dispatched
d) Permanent location of participants receiving the gifts
Answer (b)
3 Which of the following statements is true in relation to the gift items and the insurance policy
purchased by the Company?
a) The company is not eligible to avail the input tax credit in relation to both, gift items and the
insurance policy.
b) The company is eligible to avail the input tax credit related to gifts valuing less than Rs. 50,000.
c) The company is eligible to avail the input tax credit only on insurance policy as the same is
provided to employees i.e. related person of the Company.
d) There is no restriction in availment of input tax credit related to gifts and insurance policy.
Answer (a)
4 Which of the following statements is correct in relation to the issuance of e-way bill for transportation
of goods between factory and warehouse in non-motorized cart?
a) E-way bill is required to be issued by the company for each instance of transportation of goods
irrespective of the consignment value of goods.
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b) E-way bill is not required to be issued in the given case irrespective of the consignment value
of the goods.
c) E-way bill is required to be issued for goods of the consignment value above Rs. 50,000
d) E-way bill is required to be issued for goods of the consignment value above Rs. 1,00,000
Answer (b)
5 Which of the following statements is most appropriate in relation to the new warehouse taken on rent
by the Company?
a) Separate GST registration is not required mandatorily.
b) Separate GST registration is required mandatorily.
c) GST registration is required as a casual taxable person for the term of rent agreement.
d) Separate GST registration is required once the rent is more than Rs. 20 lakh per annum.
Answer (a)
CROSSWORD PUZZLE
ACROSS
2. Conveyance includes a______ , an aircraft and a vehicle.
7. The place of supply in case of banking services to any person shall be the location of the _______ of
services on the records of the supplier of services.
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9. The place of supply of services by way of transportation of goods, including by_____ or courier, etc.
provided to a registered person, is the location of such person.
DOWNWARDS
1. Place of supply determines the jurisdiction where the tax revenue should______.
3. _____ means a place where a passenger can disembark either to transfer to another conveyance or break
his journey for a certain period in order to resume it at a later point of time.
4. The term supplier includes an_____ acting as such on behalf of such supplier in relation to the goods or
services or both supplied.
5. If the supply involves goods which are to be assembled at site, the place of supply is the place of ____
.
6. If the supply does not involve movement of goods, the place of supply is the location of goods at the
______ of delivery to the recipient.
8. Service supplied on board a ____ is the location of the first scheduled point of departure for the journey.
CROSSWORD ANSWER
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CROSSWORD PUZZLE
10 11 12
13
14
ACROSS
2. Services by business facilitator to an insurance company in a ______ area is exempt from GST.
4. Services by way of pure labour construction contracts of original works pertaining to a ______
residential unit otherwise than as a part of a residential complex are exempt from GST.
6. Explanation inserted within ______ year, for the purpose of clarifying the scope or applicability of any
notification/order, to have retrospective effect.
7. Any _______ collected by bank over and above interest on loan, advance or deposit are not exempt from
GST.
10. Services of a ______agency by way of transportation of goods by is liable to GST.
12. Services by the Department of _______ by way of post card, inland letter, book post and ordinary post
are exempt from GST.
13. Rent of the rooms with room charges upto ____thousand rupees per day to a person receiving health care
services in hospitals is exempt from GST.
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14. Services by way of giving on hire to a local authority, an_____ meant to carry more than 12 passengers
is exempt from GST. (acronym)
DOWNWARDS
1. Transport of passengers by railways in ______class is liable to GST.
2. Services by a person by way of conduct of any _______ ceremony are exempt from GST.
3. Services by way of transfer of a ______ concern is exempt from GST.
5. Transport of passengers by air, in _____ class, from Assam to Manipur is liable to GST.
7. Services by an entity registered under section 12AA or 12AB of the Income- tax Act, 1961 by way of
_____ activities are exempt from GST.
8. Services by way of admission to a _____ is exempt from GST.
9. ____ is a recognized systems of medicines in India.
11. Supply of ______ educational journals or periodicals to a to higher secondary school is not exempt from
GST.
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CROSSWORD ANSWER
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CROSSWORD PUZZLE
ACROSS
2. The time of supply for service taxable under reverse charge is earlier of the date of payment, or date
immediately following days from date of issue of invoice by the supplier.
3. No GST is payable at the time of receipt of________ for supply of goods.
6. Time of supply of vouchers exchangeable for any food item(s) from a grocery store is date of
________of the voucher.
8. The time of supply of services is the date of issue of invoice if the same is issued within 30 days from
the date of ______ of service or the date of receipt of payment, whichever is earlier.
9. Time of supply indicates the point in time when the liability to_____ tax arises.
DOWNWARDS
1. Time of supply of vouchers exchangeable for a pizza at a pizza outlet is date of
_____ of the voucher.
4. Time of supply of_______ exchangeable for services is date of redemption of the voucher if supply is
not identifiable at the time of issue of voucher.
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5. Time of supply of vouchers exchangeable for services is date of issue of the voucher if supply is _____
at the time of issue of voucher.
6. The time of supply of interest on delayed payment of consideration is the date of_______ of such
addition in value by the supplier.
7. Time of supply of goods supplied under reverse charge in residual cases is the date on which goods are
recorded in the ____ of account of the recipient of supply.
CROSSWORD ANSWER
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CROSSWORD PUZZLE
10
11
12
13
ACROSS
1. Agent includes a factor, _______ , commission agent, arhatia, del credere agent.
4. Persons shall be deemed to be related if such persons are employer and_____.
6. The value of supply includes, ____ directly linked to the price, other than that given by the
Central Government and State Governments.
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7. Persons shall be deemed to be related if one of them, directly or indirectly ,______ the other.
9. Persons shall be deemed to be related if a_____ , directly or indirectly, controls both of them.
10. The value of supply includes__________for delayed payment of

consideration.
11. Persons shall be deemed to be related if one of them is the _______ of the other.
12. Persons shall be deemed to be related if such persons are ___ _ in
one anotherÕs business.
13. The value of supply includes any amount that the _____ is liable to pay in relation to supply but
which has been incurred by the recipient of the supply and not already included in the price.
DOWNWARDS
2. The value of supply ______ CGST, SGST, UTGST, GST Compensation Cess, if charged
separately.
3. The transaction value is the value of supply when supply is undertaken between ______ persons
and when price is the sole consideration for the supply.
5. The value of supply excludes, _________ given before or at the time of supply and shown in
the tax invoice.
8. The value of supply includes ____ expenses, such as, commission and packing, charged by the
supplier to the recipient of a supply.
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The picture can't be display ed.
CROSSWORD ANSWER
CROSSWORD PUZZLE
ACROSS
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3. Plant and machinery______ pipelines laid outside the factory premises.
6. ITC on capital goods is reduced by_____% per quarter of a year or part of the year from the
date of invoice in case a registered person who ceases to pay composition tax and switches to regular
scheme.
7. A registered person is not entitled to take ITC in respect of any invoice after 30th______
following the end of financial year to which such invoice pertains or furnishing of the relevant annual
return, whichever is earlier.
10. ITC on _____ supplies received by a taxable person from a composition supplier is blocked.
11. ITC on cars purchased by a car dealer for sale to customers is ______.
13. Where the goods against an invoice are received in lots, the registered person is entitled to take
credit upon receipt of the ___ lot.
DOWNWARDS
1. For availment of credit by registered person, services should have been actually_____ .
2. _____ percent ITC can be claimed on invoices furnished by the suppliers in their GSTR-1s and
reflected in GSTR-2B of recipient.
4. Motor vehicles exclude _______ purpose vehicles for being used in a factory.
5. ITC on works contract services availed by a manufacturing company for construction of pipelines
to be laid outside its factory, is _____ .
8. Where the value of taxable supply of a registered person exceeds ₹ ____ lakh in a month,
he shall have to pay atleast 1% of his output tax liability in cash.
9. ITC is not available in case of ______ goods.
12. Either depreciation on the _____ component can be claimed under Income Tax Act or ITC can
be availed under GST law.
Lifelong Learners (
83)
CROSSWORD ANSWER
Lifelong Learners (
84)
Rapid Fire Quiz

1. What is the treatment of exports while computing aggregate turnover?
ANS:- Included
2. What is the treatment of value of inward supplies on which tax is payable under reverse charge
while computing aggregate turnover?
ANS:- Excluded
3. What is the applicable threshold limit for registration if the person is carrying out business of
umbrellas and rain coats in Meghalaya?
ANS:- ₹ 20 Lakh
4. What is the treatment of CGST and SGST while computing aggregate turnover?
ANS:- Included
5. What is the treatment of Outward Supplies taxable under reverse charge while computing
‘aggregate turnoverÕ of the supplier of such supplies?
ANS:- Excluded
6. State whether Mr.X engaged in making supplies of ice cream in Gujarat is required to obtain
registration if his aggregate turnover in the financial year is ₹ 25 lakh?
ANS:- Yes
7. What is the effective date of registration if application is submitted after 30 days of the
applicant becoming liable to registration?
ANS:- Date if grant of registration
Lifelong Learners (
85)
CROSSWORD PUZZLE
3 4
7 8
ACROSS
2. An agriculturist to the extent of supply of produce out of cultivation of------
----is not liable to registration.
4. Aggregate turnover to include total turnover of all branches (i.e. all GST registrations) under
same --. (Acronym)
5. Inter-State supplies are --- while computing aggregate turnover.
6. --------person means a person who is registered or liable to be registered under section 22 or

section 24
7. A person who has obtained more than one registration in one State shall, in respect of each such
registration, be treated as persons.
DOWNWARDS
1. Every supplier of goods is required to obtain registration in the State from where he makes the----
---- supply, if his aggregate turnover exceeds specified threshold limit.
3. A business entity having its branches in multiple States will have to take-----
--State-wise registration for its branches in different States.

Lifelong Learners (
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8. Proper officer can cancel registration on his own if registered person who is monthly return
filer, has not furnished returns for a continuous period of----
- months.
CROSSWORD ANSWER
Lifelong Learners (
87)
Rapid Fire Quiz
1. Is it correct that NBFC has to mandatorily issue e-invoice?

ANS:- Incorrect
2. Physical copy of tax invoice is to be mandatorily carried even in cases where e-invoice has been
generated by the supplier. Is it valid in law?
ANS:- Invalid
3. Is it correct that a registered person may not issue a tax Invoice, if value of services supplied
to unregistered recipient is less than₹ 200?
ANS:- Correct
4. Which document is required to be issued by a registered person paying tax under composition
levy?
ANS:- Bill of supply
5. What will be the rate of tax if at the time of receipt of advance it is not determinable?
ANS:- 18%
6. What will be the nature of supply if at the time of receipt of advance it is not determinable?
ANS:- Inter-State supply
7. Which document is required to be issued in case of transportation of goods for reasons other
than supply without invoice?
ANS:- Delivery challan
8. Which document is required to be issued if post issuance of invoice, quantity received by

recipient is less than what has been declared in the tax invoice?
ANS:- Credit Note
Lifelong Learners (
88)
CROSSWORD PUZZLE
2 3
4 5 6
8 9
10
11 12
ACROSS
2. Invoice shall be issued before or at the time of -------------of goods for supply to the recipient,
where the supply involves movement of goods.
4. A registered person on receipt of advance payment with respect to any supply of goods shall issue
a Voucher.
8. Where tax invoice has been issued for supply of any goods and goods supplied are found to be
deficient, the registered person may issue ------ note.
11. Dynamic QR code is not applicable to an invoice issued to an --------------- person by Insurer.
DOWNWARDS
1. Invoice shall be prepared in ------ in case of taxable supply of goods.
3. Name and address of the recipient and the address of delivery, along with the name of State
and its code is mandatory for tax invoice, if recipient is unregistered and value of supply is ₹
50,000 or------.
5. A registered person supplying ---------services is required to issue a bill of supply.
Lifelong Learners (
89)
6. In case of supplier of passenger transportation service, tax invoice shall include-----in any form,
by whatever name called.
7. Supplier of ----------transportation service are exempt from the mandatory requirement of e-

invoicing.
9. -------------- is the website for uploading/reporting of invoices by the notified persons.

(Acronym)
10. Where the goods being sent on approval for sale are removed before the supply takes place, the
invoice shall be issued before/at the time of supply or ------ months from the date of removal,
whichever is earlier.
12. All registered businesses with an aggregate turnover in any preceding financial year from 2017-
18 onwards greater than ₹-----crore will be required to issue e-invoices.
CROSSWORD ANSWER
Lifelong Learners (
90)
Lifelong Learners (
91)
Rapid Fire Quiz

1. State the correctness of statement -"Place of business includes a place where a taxable person
is engaged in business through an agent, by whatever name called".
ANS:- Correct
2. Is it valid that document includes written or printed record of any sort but does not include
electronic record?
ANS:- Invalid
3. Mr. X contends every owner has to maintain records of the consigner & consignee only if he is a
registered person ? Is Mr. X correct?
ANS:- Incorrect
4. Mr. Yuvi, a registered person imported raw material to be used in the manufacture of finished
goods. He opines that he is not required to maintain account of goods imported. Is he correct?
ANS:- Incorrect
5. Miss Taavi, a composition dealer is of the view that she is not mandatorily required to maintain
account of goods disposed of by way of gift. Is her view valid in law?
ANS:- Valid
Lifelong Learners (
92)
CROSSWORD PUZZLE
4 5
6 7
9 10
11
ACROSS
2. All in correct entries, otherwise than those of------nature, shall be scored out under
attestation.
3. Every registered person is required to retain books of account until the expiry of 72 months
from the due date of furnishing of return.
7. Every------------ person shall keep and maintain, books of accounts at his principal place of
business and books of account relating to additional place of business.
8. Every transporter shall maintain records of goods transported, delivered and goods stored in -
------by him.
9. Stock of -----------is not required to be maintained by a supplier who has opted for composition
scheme.
10. Every manufacturer has to maintain------- production accounts showing quantitative details of
raw materials/services used in the manufacture.
11. Every transporter shall maintain record of GSTIN of the registered consignor and consignee
for --------of his branches.
Lifelong Learners (
93)
DOWNWARDS
1. The operator of aware house is required to obtain a unique----------- number If notal ready
registered.
4. The owner of the go down has to store the goods so that they can be identified--------
wise and owner wise.
5. Books of account include any-----form of data.
6. Any entry in registers, accounts and documents shall not be---------
CROSSWORD ANSWER
Lifelong Learners (
94)
Rapid Fire Quiz

1. Whether E-way bill generated in one State is valid or not in another State?
ANS:- Valid
2. E-way bill can be edited, any number of times in case of mistake. Examine the correctness of
statement?
ANS:- Incorrect
3. Mr. X contends that e-way bill is mandatorily required to be generated in case of transportation
of used personal and household effects? Is Mr. X correct?
ANS:- Incorrect
4. What is the limit of consignment value for generation of e-way bill in case of movement of goods
for reasons other than supply?
ANS:- Exceeding ₹ 50000
5. Who is required to furnish information in Part-B of E-way bill?

ANS:- Transporter
Lifelong Learners (
95)
CROSSWORD PUZZLE
2 3
4 5
6 7
ACROSS
2. The unique number generated by EWB system for unregistered transporter is -----.
(Acronym)
6. Details of conveyance may not be furnished in Part-B of the e-way bill where the goods are
transported for a distance of--------- 50 km within the State.
7. E way bill will be issued in case of movement of goods of consignment value of ₹ 60,000 due to
------ supply from an unregistered person.
8. ------- e-way bill is generated when multiple consignments intended to be transported in one
conveyance.
DOWNWARDS
Lifelong Learners (
96)
1. E-way bill may be cancelled electronically on the common portal------ 24 hours of generation
of the e-way bill.
3. --------GSTIN cannot generate e-way bill as supplier.
4. ------- includes written or printed record of any sort and electronic record.
5. Consignment value of goods-------- the Central tax and State tax.
CROSSWORD ANSWER
Lifelong Learners (
97)
Rapid Fire Quiz
1. The deposit towards payment of interest and penalty will be credited to which ledger?
ANS:- Electronic cash ledger
2. Whether deposit in the electronic cash through IMPS from bank is valid?
ANS:- Valid
3. Is it correct that there is no monetary limit for deposit in electronic cash ledger by over the
counter payment through authorised banks?
ANS:- Incorrect
4. For how much period CPIN remains valid?

ANS:- 15 Days
5. How many types of Challans are prescribed for various taxes and payment to be paid under the
GST regime?
ANS:- Single Challan
6. What is the condition for transfer of any amount available in the electronic cash ledger, to the
electronic cash ledger for IGST of a distinct person?
ANS:- No unpaid liability in electronic liability register.
7. What is the use of balance available in electronic credit ledger?

ANS:- Payment of output tax.
Lifelong Learners (
98)
8. Is Mr. X permitted to use UTGST credit for payment of CGST?

ANS:- Not permitted
9. Penalty of previous tax period has to be discharged first or last?

ANS:- First
10. In which order credit of IGST be utilised for payment of CGST & SGST?
ANS:- Any order.
CROSSWORD PUZZLE
2 3 4
5 6
ACROSS
5. Input tax does not include the tax paid under the----- levy.
7. The ITC wrongly availed shall be construed to have been utilised, when the balance in the electronic
credit ledger is ------ the amount of ITC wrongly availed.
9. Entire ITC of ------ is to be fully utilised first before utilising any other credit.
(Acronym)
DOWNWARDS
Lifelong Learners (
99)
1. ------ return means a return furnished under section 39(1) of CGST Act on which self-assessed
tax has been paid in full.
2. Output tax----- tax payable by taxable person on reverse charge basis.
3. The liability arising out of------- notice comes last.
4. ------is the transaction number given by the bank for a payment against a Challan. (Acronym)
6. The liability for ------can not be settled by adjustment with balance in Electronic credit Ledger.
8. The deposit in the electronic cash ledger can be made through ---- from any
bank. (Acronym)
CROSSWORD ANSWER
Lifelong Learners (
100)
Rapid Fire Quiz

1. Is it correct or not that public sector undertakings is liable to deduct TDS from payments made
to the suppliers of taxable goods?
ANS:- Correct
2. What is the implication of TDS in case services are supplied from a public sector undertaking
(PSU) to another PSU?
ANS:- No TDS
3. Mr. X contends that tax is liable to be deducted if total value of supply of

taxable goods under a contract is ₹ 2,50,000 exclusive of tax. Is his contention valid in law or not?
ANS:- Invalid
4. What is the implication of TDS in case supplier, place of supply and recipient are in the same
state?
ANS:- TDS applicable
5. What is the implication of TDS in case location of supplier is in State A and place of supply as
well as registration of recipient are in State B?
ANS:- TDS applicable
6. What is the implication of TDS if supplier as well as the place of supply are in State A and the
recipient is located in State B. ?
ANS:- No TDS
7. What is the rate of TCS under CGST?

ANS:- Half percent
8. Is it valid that services by way of transportation of passengers by motor cycle is to be included

while computing net value of taxable supplies?
ANS:- Invalid
Lifelong Learners (
101)
CROSSWORD PUZZLE
1 2
3 4
5 6
ACROSS
1. TDS is not attracted if services are supplied from a PSU to another ----------
.(Acronym)
3. Value of supply shall------------ tax & cess for the purpose of TDS under Section 51 of CGST Act,
2017.
5. The amount of tax deducted at source should be deposited to the Government account by 10th of
the succeeding ------.
8. Net value of taxable supplies shall mean the aggregate value of taxable supplies of goods and/or
services, other than services notified under sub- section (5) of section 9, made during any month by all
registered persons through the operator reduced by the aggregate value of taxable supplies------to
the suppliers during the said month.
9. ------------------ sector undertakings are notified to deduct tax at source from payments made
to the supplier
DOWNWARDS
2. TDS would be deducted if supplier, place of supply and recipient are in the---- State.
Lifelong Learners (
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4. The TDS deductees are the suppliers whose total value of supply of taxable goods under a
contract exceeds ₹ 2,50,000------ of tax & cess as per the
invoice.
6. Every Electronic Commerce Operator (ECO), not being an agent, has been mandated to collect
tax at source (TCS) on net value of taxable supplies made----- it by suppliers.
7. The TCS amount collected by the ECO has to be remitted to the Government Treasury within--
----days after the end of the month in which the collection was made.
CROSSWORD ANSWER
Lifelong Learners (
103)
CROSSWORD PUZZLE
ACROSS
2. Conveyance includes a______ , an aircraft and a vehicle.
7. The place of supply in case of banking services to any person shall be the location of the _______ of
services on the records of the supplier of services.
9. The place of supply of services by way of transportation of goods, including by_____ or courier, etc.
provided to a registered person, is the location of such person.
DOWNWARDS
1. Place of supply determines the jurisdiction where the tax revenue should______.
3. _____ means a place where a passenger can disembark either to transfer to another conveyance or break
his journey for a certain period in order to resume it at a later point of time.
4. The term supplier includes an_____ acting as such on behalf of such supplier in relation to the goods or
services or both supplied.
Lifelong Learners (
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5. If the supply involves goods which are to be assembled at site, the place of supply is the place of ____
.
6. If the supply does not involve movement of goods, the place of supply is the location of goods at the
______ of delivery to the recipient.
8. Service supplied on board a ____ is the location of the first scheduled point of departure for the journey.
CROSSWORD ANSWER
Lifelong Learners (
105)
Rapid Fire Quiz

1. What is the due date for payment of tax by a composition supplier for a particular quarter?
ANS:- 18th of the month succeeding such quarter
2. Whether a composition supplier is required to file return quarterly or yearly?

ANS:- Yearly
3. Who's the person who owns, operates or manages digital or electronic facility or platform for
electronic commerce?
ANS:- E-Commerce operator
4. Determine whether Form GSTR-1 furnishes the details of Inward supplies or Outward supplies.
ANS:- Outward Supplier
5. Whether GSTR-2B is a real time updated statement or a static statement?

ANS:- Static Statement
6. Under IFF, what is the cumulative value of invoice in each of the 1st two months of the quarter
beyond which invoice wise details cannot be submitted?
ANS:- Rs. 50 Lakh
7. Whether GSTR-2A is a real time updated statement or a static statement?

ANS:- Real time updated statement
8. How many GSTR-3B returns are to be submitted in a year by a person who has opted for QRMP
Scheme?
ANS:- 4 GSTR-3B
Lifelong Learners (
106)
9. What is the due date for filing of return for the month in which tax has been deducted at
source by a TDS deductor ?
ANS:- 10th day of next month
10. •Which return is to be furnished by a registered person required to furnish return under
section 39(1) and whose registration has been surrendered or cancelled?
ANS:- Final return
CROSSWORD PUZZLE
ACROSS
2. Form GSTR-2B is a----- statement and is available only once a month.
8. All registered persons are required to file furnish a self-certified ------- statement along with
annual return if their aggregate turnover during a financial year exceeds ₹ 5 crores.
Lifelong Learners (
107)
10. The late fees for delay in filing of GSTR-7 is ₹ 50 for every day during which such failure
continues or ₹ 1,000 whichever is------.
11. When there is no business activity in any particular tax period, ------GSTR-1 is
to be filed.
DOWNWARDS
1. Form GSTR-2B contains the details of eligib------.(Acronym)
3. ------- taxpayers are required to pay tax on quarterly basis in Form CMP-08.
4. A NRTP is not required to file an-------return.
5. A composition supplier is required to file a return on -------basis.
6. Every registered person who is required to furnish return u/s 39(1) and whose registration has
been surrendered is required to file a-------- return.
7. A TDS certificate is required to be issued by deductor in Form GSTR-7A to the deductee

within----- days of crediting the amount to the Government.
9. GSTR-3B does not require invoice-wise data of-------- supplies.
CROSSWORD ANSWER
Lifelong Learners (
108)
Lifelong Learners (
109)

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INDIRECT TAX : MCQ AND CASE SCENARIOS

1. Which of the following statements is incorrect?

2. Presently, _____ is leviable on _____ of petroleum and diesel.

3. _________ is leviable on ____ of Tobacco

4. ______ is leviable on ________ of opium and Indian hemp.

5. Which of the following taxes is/are not subsumed in GST?

Choose the most appropriate option

6. Alcoholic liquor for human consumption is subjected to

7. Which of the following statements is true under GST?

Chapter 2 : Supply Under GST

3. Which of the following activities/transactions qualify as supply of goods?

6. Which of the following is not a supply of services?

7. Which of the following services received without consideration amount to supply?

13. Which is not considered as supply under GST Law?

Chapter 3 : Charge of GST

2 Sindhu Transporters, an unregistered Goods Transport Agency, provides the services of

10 GST is payable by recipient of services in the following cases: -

Chapter 4 : Place of Supply

Chapter 5 : Exemptions from GST

5. Which of the following services are not exempt from GST?

(d) Transportation of goods provided to Municipal Corporation of Delhi.

8. Which of the following services are liable to GST?

9. Which of the following services are not exempt from GST?

10. Which of the following services are exempt from GST?

11. An exempt supply includes-

12. Which of the following services are exempt under GST?

(iii) warehousing of agricultural produce

14. Services by way of warehousing of&&&.is exempt from GST.

16. Services by way of admission to are exempt from GST.

17. Transport of by rail are exempt from GST:

18. Which of the following services is exempt from GST?

20. Which of the following service is not exempt under GST?

(d) Simmo Singh, being individual, is not liable to pay GST.

Chapter 6 : Time of Supply

May 31 Payment is debited from bank account of Parminder Constructions Ltd.

(MTP 1 Mark, April 19)

9. The time of supply of service in case of reverse charge mechanism is

Chapter 7 : Value of Supply

Chapter 8: Input Tax Credit

10. ITC on is not blocked.

15. Calculate the amount of eligible input tax credit-

4. Special purpose vehicle having seating capacity of 2 persons 60,00,000

(a) Rs. 2,25,00,000/-

(MTP 2Marks, Oct 19)

(RTP May 20)

7. A non-resident taxable person is required to apply for registration:

Chapter 10 : Tax Invoice, Credit and Debit Notes

3. Which of the following statements is/are incorrect under GST law:-

(RTP Nov 20)

(MTP 1 Mark, April 19)

Chapter 11 : Accounts and Records

Chapter 12: E-way Bill

Chapter 13: Payment of Tax

2. Balance in electronic credit ledger can be utilized against payment of _.

Chapter 14 : Tax Deduction at Source and Collection of Tax at Source

2. Analyze the transactions mentioned below-

Case Scenarios- Indirect Tax Laws

Case scenario (MTP OctÕ21 & Sep ‘23)

(a) Rs. 25,000

(d) Rs. 80,000

2. Presently, _ is leviable on _ of petroleum and diesel.

3. _____ is leviable on of Tobacco

4. is leviable on __ of opium and Indian hemp.