CA FINAL IDT GST MCQ

Q1- ------------------ Model of GST adopted

(a) Dual (b) National (c) both of the above (d) None of the Above
Ans. (a) Dual

Q2. Which is not subsumed in GST?

(a) Basic Custom Duty (b) Entertainment tax levied by Local Authority (c) Toll Tax (d) All of the above
Ans. (d) All of the above

Q3 Administration and levy of GST is as follows:

(a) Centre will levy and administer CGST and IGST and States will levy and administer SGST (b) Only
Centre will levy and administer all CGST, SGST and IGST (c) Centre will levy and administer IGST only
and States will levy and administer CGST and SGST (d) State will levy and administer SGST and [GST
and IGST shall be distributed among Centre and State partially.
Ans. (a) Centre will levy and administer CGST and IGST and States will levy and administer SGST

Q4. What transition period is allowed under section 19 of Constitution (101th Amendment) Act,
2016?
(a) 6 Months (b) 1 Year (c) 1.5 years (d) No transition period allowed
Ans. (b) 1 Year

Q5. An exempt supply includes-

(a) Supply of goods or services or both which attracts Nil rate of tax ,(b) Non-taxable supply , (c) 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 , (d) All of the above
Ans. (d) All of the above

Q6. Distribution of electricity by a distribution utility is a:

(a) Non-taxable supply ,(b) Exempt Supply ,(c) Nil Rated Supply , (d) Neither supply of goods nor supply of
services
Ans.(b) Exempt supply vide Sl. No. 25 of Notification No. 12/2017-Central Tax (Rate), dated 28-Jun-2017

Aggregate Turnover [Section 2(6)]

Q7. Aggregate turnover does not include-
(a) Inward supplies on which tax is payable on reverse charge basis ,(b) Exempt supplies ,(c) Export of goods or
services or both ,(d) Inter-State supplies of persons having the same PAN number
Ans. (a) Inward supplies on which tax is payable on reverse charge basis

Q8. ABC ltd. has provided following information for the month of Sep, 2018:
(i) Intra-State outward supply ` 8,00,000/- ,(ii) Inter-State exempt outward supply ` 5,00,000/- ,(iii) Turnover of
exported goods ` 10,00,000/- ,(iv) Payment made to GTA ` 80,000/-
Calculate the aggregate turnover of ABC Ltd.
(a) ` 8,00,000/- ,(b) ` 23,80,000/- ,(c) ` 23,00,000/- ,(d) ` 18,00,000/-

Q9. X Ltd. supplied spare parts freely to replace during warranty period. Is it supply and chargeable to
GST?
(a) Yes, (b) No,
Ans. (b) No
 CA FINAL IDT GST MCQ

Q10. Online information and data base access or retrieval services, where import of free services from
Google by Mr. A located in India, without any consideration. Is it subject to GST?
a) Yes, (b) No,
Ans. (b) No

Q11. Import (Downloading) of a song for consideration for personal use by Mr. A. Is it supply of service
and leviable to GST?
(a) Yes, (b) No,
Ans. (a) Yes
NOTE – OIDAR Service is taxable,

Q12. Mr. C got design made from Architect located in USA for his house in India. Is it supply. If so who is
liable to pay GST.
(a) Yes, it is supply, but exempt from GST. Since, it is not OIDAR service, (b) No,
Ans.(a) Yes, it is supply, but exempt from GST. Since, it is not OIDAR service

Q13. Mr. C got design made from Architect located in USA for his shop in India. Is it supply. If so who is
liable to pay GST.
(a) Yes, it is supply, Mr. C liable to pay GST under reverse charge, (b) No,(c) none of the above
Ans.(a) Yes, it is supply, Mr. C liable to pay GST under reverse charge

Q14. Import of some services by an Indian branch from their parent company, in the course or
furtherance of business, without consideration. Is it taxable supply in India?
(a) Yes. It is a taxable supply in India and hence IGST will be levied. (b) No
Ans. (a)Yes. It is a taxable supply in India and hence IGST will be levied.

Q15. Mr. A during long drive with his girlfriend violated traffic rules and was imposed fine of `1,000.
Whether it is supply
(a) Yes, (b) No,
Ans. (b) No

Q16. Penalties levied on late or delayed payment of consideration of supply of goods or services are
taxable supply?
(a) Yes, (b) No,
Ans. (a) Yes

Q17. Mr. P, a practicing CA provided services to M/s A Ltd., dealer of laptops. In return M/s A Ltd., given
1 laptop to Mr. P.
(a) Supply of service made by Mr.P,(b) Supply of goods made by A ltd ,(c) Both (a) & (b) ,(d) None of the above
Ans.(c) Both (a) & (b)

Q18. Mr. X, a dealer in laptops. He supplied a laptop for ` 60,000 to Mr. Y along with a barter of printer.
The value of the printer known at the time of supply is ` 5,000 but the open market value of the laptop is
not known. The value of the supply of laptop is ` 65,000.
(a) X is liable to pay GST on ` 65,000.,(b) Mr. Y is liable to pay GST on ` 5,000 if he is registered,(c) Both (a) &
(b),
(d) None of the above
Ans. (c) Both (a) & (b)
 CA FINAL IDT GST MCQ
Q19. M/s A Ltd., purchases new laptop. Hence the old computers and laptops, donated to a Trust. Is it
supply. If so who is liable to pay GST.
(a) Yes, it is supply, M/s A Ltd., liable to pay GST, if company availed input tax credit on such computers and
laptops. (b) No,(c) none of the above
Ans. a) Yes, it is supply, M/s A Ltd., liable to pay GST, if company availed input tax credit on such computers
and laptops.

Q20. M/s Z Ltd., being a trader in clothes permanently transfers 50% of its stock to a Trust free of cost.
Is it supply. If so who is liable to pay GST.
(a) Yes, it is supply, M/s Z Ltd., liable to pay GST, if company availed input tax credit on purchase of clothes. (b)
No,(c) none of the above
Ans.a) Yes, it is supply, M/s Z Ltd., liable to pay GST, if company availed input tax credit on purchase of clothes

Q21. M/s A Ltd., trading in clothes purchased AC for business purpose and availed Input tax credit but
after 2 years, it transfer the AC to director without consideration. Will the transaction be a supply in
terms of GST ACT?
(a) Yes, it is supply, M/s A Ltd., liable to pay GST, if company availed input tax credit on such AC. (b) No,(c)
none of the above
Ans. (a) Yes, it is supply, M/s A Ltd., liable to pay GST, if company availed input tax credit on such AC.

Q22. M.K Batra & Co., (a CA firm) employer who represents his employee before the Income Tax
authorities but does not charge any professional fee in respect of the same. Is it supply? Open Market
value of service is 80,000
(a) yes, (b) No
Ans.(a) yes

Q23. M/s A Ltd., gives Diwali Gifts to each employee worth `70,000/-. Is it supply?
(a) yes, (b) No
Ans.(a) yes

Q24. Ram has received a sum of `10,00,000 from his employer on premature termination of his contract
of employment. Is it supply?
(a) yes, (b) No, since supply excludes services provided by the employee to the employer in the course of
employment (as per Schedule III of CGST Act, 2017).
Ans.(b) No

Q25. Salary paid to partners by partnership firm is liable to GST?

(a) No. It is not supply. It is merely an appropriation of profit. (b) yes
Ans.(a) No. It is not supply. It is merely an appropriation of profit

Q26. Ram, a CA, has a registered head office in Delhi. He has also obtained registration in the State of
Haryana in respect of his branch office. Whether Ram shall be treated as distinct persons in respect of
registrations in Delhi and Haryana and Whether Transactions between head office and branch office will
be considered as supply of service even though there is no consideration.
(a) yes distinct person and considered supply, (b) No (c) yes, No (d) No, yes
Ans.(a) yes distinct person and considered supply

Q27. M/s C Ltd. has 3 branches A, B & C in different states. Whether stock transfer between Branch A&
C is supply?
(a) Yes, (b) No
Ans. (a) yes
 CA FINAL IDT GST MCQ

Q28. Ram, a CA, has a registered head office in Delhi. He has establishment in the State of Haryana for
accommodating extra staff to do work from that office. Whether Ram shall be treated as distinct persons
in respect of registrations in Delhi and Establishment in Haryana
(a) Yes, (b) No
Ans. (a) yes

Q29. Can a registered person opting for composition scheme collect tax on his outward supplies?
(a) Yes ,(b) No ,(c) Yes, if the amount of tax is prominently indicated in the invoice issued by him ,(d) Yes, only
on such goods as may be notified by the Central Government
Ans.(b) No

Q30. Which of the following will be excluded from the computation of ‘aggregate turnover’?
(a) Value of taxable supplies ,(b) Value of exempt Supplies ,(c) Non-taxable supplies ,(d) Value of inward
supplies on which tax is paid on reverse charge basis
Ans.(d) Value of inward supplies on which tax is paid on reverse charge basis

Q31. What will happen if the turnover of a registered person opting to pay taxes under composition
scheme during the year 2017-18 crosses threshold limit?
(a) He can continue under composition scheme till the end of the financial year ,(b) He will be liable to pay tax at
normal rates of GST on the entire turnover for the financial year 2017-18 ,(c) He will cease to remain under the
composition scheme with immediate effect ,(d) He will cease to remain under the composition scheme from the
quarter following the quarter in which the aggregate turnover exceeds threshold limit
Ans.(c) He will cease to remain under the composition scheme with immediate effect.

Q32. Previous year turnover of units of A ltd Registered in Delhi – 20 lakh, Mumbai – 30 lakh, Chennai –
40 lakh, Kolkata – 16.2 lakh. Above amounts are including GST @ 18%. Whether A ltd is eligible for
composition scheme
(a) Yes, since, Aggregate Turnover = 90 lakh (106.2 /118 × 100) (b) No (c) None of the above
Ans. (a) Yes, since, Aggregate Turnover = 90 lakh (106.2 /118 × 100)

Q33. Previous year turnover of units of A ltd Registered in Delhi – 50 lakh, Mumbai – 40 lakh. Whether A
Ltd can opt for composition scheme for Delhi unit only and whether it has to give separate intimation for
every unit?
(a) Yes can opt and separate intimation for every unit (b) No, opt for all the units and intimation in respect of any
place shall be deemed to be intimation for all other places of business. (c) None of the above.
Ans. (b) No, opt for all the units and intimation in respect of any place shall be deemed to be intimation for all
other places of business.

Q 34.Mr. C, an architect (New Delhi), provides professional services to Mr. Z of New York in
relation to his immovable property located in Pune. What will be place of Supply?
(a) New Delhi (b) New York (c) Pune (d) None of the above
Ans. (c) Pune

Q 35.Mr. C, an architect (New Delhi), enters into a contract with Mr. Z of New York to provide
professional services in respect of immovable properties of Mr. Z located in Pune and New York.
What will be place of Supply?
 CA FINAL IDT GST MCQ
(a) New Delhi (b) New York (c) Pune (d) None of the above
Ans. (c) Pune

Q 36.A circus team from Russia organizes a circus in New Delhi. What will be place of Supply?
(a) New Delhi (b) Russia (c) None of the above
Ans.(a) New Delhi

Q37.An event management company registered in New Delhi organises an art exhibition
displaying works of an international painter based in Dubai. The exhibition is organised in 3
countries including New Delhi. What will be place of Supply?
(a) New Delhi (b) Dubai (c) None of the above
Ans.(a) New Delhi

Q 38.Mr. C, a foreign tourist, on a visit to Varanasi (Uttar Pradesh) uses his international debit card
to withdraw money from an ATM of a local Bank registered in Uttar Pradesh. What will be place of
Supply?
(a) Varanasi (b) Foreign country (c) None of the above
Ans. (a) Varanasi

Q39.A travel agent registered in New Delhi books a tour of famous Indian cities for a Dubai
resident. What will be place of Supply?
(a) New Delhi (b) Dubai (c) None of the above
Ans. (a) New Delhi

Q40.Mr. D, an unregistered person based in New Delhi, leaves for a European holiday. He hires a
car from London, UK for 20 days. What will be place of Supply?
(a) New Delhi (b) London (c) None of the above
Ans. (b) London

Q41. What deductions are allowed from the transaction value

(a) Discounts offered to customers, subject to conditions ,(b) Packing Charges, subject to conditions ,(c) Amount
paid by customer on behalf of the supplier, subject to conditions ,(d) Freight charges incurred by the supplier for
CIF terms of supply, subject to conditions
Ans.(a) Discounts offered to customers, subject to conditions

Q42.M/s Z Ltd., holds 40,000 shares in M/s A Ltd. and 35,000 shares in B Ltd. Share Capital of M/s A Ltd:
1,00,000 Equity Shares of `10 each. Share Capital of M/s B Ltd: 80,000 Equity Shares of `10 each.
Whether A Ltd. and B Ltd. Are related?
(a) Yes, Since, M/s Z Ltd., holds more than 25% of the share in the company A Ltd. and B Ltd., (b) No
Ans.(a) Yes, Since, M/s Z Ltd., holds more than 25% of the share in the company A Ltd. and B Ltd.

Q43.Reliable group has three companies namely M/s T Ltd., M/s L Ltd., and M/s O Ltd., as group
companies and M/s Reliable Ltd., as a parent company. M/s Reliable Ltd., holds 25% of the shares in
each group company. Whether T, L & O companies will be considered as related persons?
(a) yes, (b) No
Ans.(a) yes
 CA FINAL IDT GST MCQ
Q44.S Ltd, a Spare Parts Dealer, sells spare parts to Bata Automobiles for Rs 6,000. The MRP of the spare
parts is Rs 10,000. What will be the Assessable Value?
(a) 6000 (b) 10000 (c) none of the above
Ans. (a) 6000

Q45.Admission to Theatre is ` 100 per ticket for a Movie plus entertainment tax `10% Find the value of
taxable supply of service. Rate of GST is 28%. Find the GST liability if any?
(a) 110, 30.80 (b) 100, 28 (c) 110, 28 (d) None of the above
Ans. (a) 110, 30.80

Q46.Mr. A located in Delhi purchases 1,000 Calculator worth Rs.1, 00,000 from M/s ABC located in
Mumbai. Mr. A’s son is an employee in M/s ABC. The price of each calculator in the open market is Rs.
102. As per contract, supplier has to deliver goods at premises of buyer. The supplier instructs the buyer
to make payment of transport charges of Rs. 10,000 to Goods transport agency for delivering the goods
to the recipient’s place of business. What will be the value
(a) 1,00,000 (b) 1,10,000 (c) 1,02,000 (d) 1,12,000
Ans. (b) 1,10,000

Q47.Machine price - 45,000, Weighment charges – 10000, Design Charges – 20,000, Special packing
done for Machine of Rs 5,000. Determine Value?
(a) 80,000 (b) 50,000 (c) 70,000 (d) 60,000
Ans. (a) 80,000

Q48.Following are the details

Value of supply of goods – payment to be made within 30 days Rs 20 lakh
Interest on delayed payment, if payment made after 30 days Rs 1.18 lakh
Mr. A has paid after 30 days
Rate of GST – 18%, Determine the value of supply
(a) 20 lakh (b) 21 lakh (c) 21.18 lakh (d) None of the above
Ans. Value of supply = Rs 20 lakh + 1 lakh (1.18 lakh × 100/118)= Rs 21 lakh.

Q49. Does a Medical Service Provider needs to get registered under GST, if his aggregate turnover (u/s 2
(6) is more than ` 20 Lakhs but has taxable supply of only an amount of `2.4 Lakh p.a.?
(a) No ,(b) Yes
Ans.(b) Yes [he should get registered and also pay GST on taxable supply.]

Q50. Who will take registration on services in relation to transportation of goods (including used
household for personal use) if, GTA avails ITC on supplies made by him
(a) GTA, forward charge ,(b) GTA, RCM ,(c) Service receiver, forward charge ,(d) Service receiver, RCM
Ans.(a) GTA, forward charge

Q51. Will all establishments display a certificate from government (displaying his turnover category) and
their GST Registration No. which should appear on all his cash memos/bills?
(a) No ,(b) Yes
Ans. (b) Yes [Rule 18 of CGST Rules, 2017]

Q52. Does a Service provider who has turnover of less than 20 lakh and Providing service through
ecommerce websites, have to register for GST, if such e-commerce operator is required to collect TCS?
(a) No ,(b) Yes
Ans.(a) No [Notification No. 65/2017 – Central Tax dated 15.11.2017]
 CA FINAL IDT GST MCQ

Q53. Do I, a Mutual fund Distributor working in Delhi, need to register under GST, having income less
than ` 20 Lakhs but working for offices that are registered in Mumbai and have branch offices in Delhi?
(a) No ,(b) Yes
Ans. (b) No [Section 24 read Notification No. 10/2017 – Integrated Tax dated 13.10.2017]

Q54. If I already have a GSTIN, do I need to register separately as an Input Service Distributor?
(a) No ,(b) Yes
Ans.(b) Yes [Section 24(viii) of the CGST Act]

Q55. The application for registration after being examined by the proper officer, if the same are
found to be in order, approve the grant of registration to the applicant within----- from the date of
submission of application.
(a) 3 working days (b) 5 working days (c) 7 working days (d) 10 working days
Ans. (a) 3 working days

Q56. The application for registration after being examined by the proper officer, if the same are
found to be deficient, and requires any clarification, he may issue a notice to the applicant
electronically in form---.
(a) GST REG-01, within 7 working days (b)GST REG-02, within 3 working days (c)GST REG-03, within 3
working days (d)GST REG-04, within 5 working days
Ans. (c)GST REG-03, within 3 working days

Q57. The applicant shall furnish any clarification, sought electronically by the proper officer
regarding deficiency in application, in form GST REG-04, within—from the date of receipt of such
notice.
(a) 3 working days (b) 7 working days (c)5 working days (d)10 working days
Ans. (b) 7working days

Q58. The application for grant of registration shall be deemed to have been approved, if the
proper officer fail to take any action
(a) Within 3 working days from the date of submission of application
(b) Within 7 working days from the date of receipt of clarification, information or documents
furnished by the applicant (c)Both(a) OR (b)(d)None of the above
Ans. (c)Both (a) OR (b)

Q59. The number of Digit in the PAN/TAN based GSTIN registration number will be;
(a) 10 Digit (ten characters for the PAN or the Tax Deduction and Collection Account Number)
(b) 12 Digit (two characters for the state code, ten characters for the PAN or the Tax Deduction and
Collection Account Number)
(c)14 Digit (two characters for the state code, ten characters for the PAN or the Tax Deduction and
Collection Account Number, one character for the entity code, One checksum character)
(d)15 Digit (two characters for the state code, ten characters for the PAN or the Tax Deduction and
Collection Account Number, two characters for the entity code, One checksum character)
Ans.(d)15 Digit

Q60. What is the effective date of registration where application for the registration has
submitted within 30 days from being liable to get registered?
(a) Date of becoming liable to registration (b) Date of making application in GST REG-01 (c)Date of grant
of registration (d)Date of first sale made after registration
 CA FINAL IDT GST MCQ
Ans. (a) Date of becoming liable to registration

Q61. What is the effective date of registration in case the person voluntarily opts to take
registration in GST?
(a) Date of becoming liable to registration (b) Date of making application in GST REG-01 (c)Date of grant
of registration (d)Date of first sale made after registration
Ans. (c)Date of grant of registration

Q62. A registered taxable person is liable to show his GSTIN number in,
(a) Tax Invoice (b) Name Board at Principal Place and additional place of business (c)Both (a) and (b)
(d) Either (a) OR (b)
Ans. (d) Either (a) OR (b)

Q63. What is the prescribed time period to apply for registration by a non-resident taxable
person?
(a) Within 7 days after total turnover crosses 20 lakhs (b) Within 7 days prior to the commencement of
business (c)Within 30 days from being liable to registration (d) At least 5 days prior to the
commencement of business
Ans. (d) At least 5 days prior to the commencement of business

Q64.Apa caterings supply outdoor catering services to its customers by sub-contracting the same. Sub-
contractor supplied food items like ice creams, North Indian Meals, South Indian Meals and so on to Apa
caterings. Sub-contractor raised invoice on Apa caterings for supply of outdoor catering services `50000
plus GST 18%. Determine credit available
(a) 9000 (b) No credit available (c) 50% credit (d) None of the above
Ans. (a) 9000

Q65.Airindia Ltd. is engaged in supply of transport of passengers by air services. The company avails
outdoor catering services of M/s Apa Caterers in order to provide food and beverages to the passengers.
M/s Apa Caterers raises an invoice on Air Ltd charging GST.
Air Ltd. wants to avail the ITC on outdoor catering services supplied by M/s Apa Caterers. Advise.
(a) credit allowed, Since inward supply of catering service is used by a registered person for outdoor catering
services which forms part of taxable composite supply of passengers by air services. (b) No credit available (c)
50% credit (d) None of the above
Ans. (a) credit allowed, Since inward supply of catering service is used by a registered person for outdoor
catering services which forms part of taxable composite supply of passengers by air services.

Q66.Subscription of the gym, yoga classes, or membership of any club for any sport or for
anything else. Determine credit available
(a) Credit available (b) No credit available (c) 50% credit (d) None of the above
Ans. (b) No credit available

Q67.Mr. A of USA being technician came to India to assemble parts of machinery. He also imported
goods worth `10,00,000 and paid following customs duties: (i) Basic customs duty is ` 1,00,000.
(ii) SWS ` 10,000. (iii) Integrated Goods and Services Tax (IGST) of ` 1,99,800.
In India Mr. A wants to register as non-resident taxable person and his estimated liability is ` 2,50,000.
How much Mr. A is liable to pay as advance tax?
(a) 2,50,000, (b) 2,50,000 – 1,99,800 = 50,200, (c) 40,200 (d) None of the above
Ans. (b) 2,50,000 – 1,99,800 = 50,200

Q68.M/s X Ltd. purchased shoes for their employee’s personal consumption by paying GST thereon. ITC
not allowed on such goods.
 CA FINAL IDT GST MCQ
(a) Credit available (b) No credit available (c) 50% credit (d) None of the above
Ans. (b) No credit available

Q69.M/s Info Ltd. providing various facilities to their employees like club, sports facilities etc. to ensure
that the employees stay comfortably in the colony. It increases the efficiency of employee. Examine the
credit applicability in this case.
(a) Credit available used in the course or furtherance of business. (b) No credit available (c) 50% Credit (d)
None of the above
Ans. (a) Credit available

Q70.M/s X Ltd. sold goods to M/s Y Ltd. for ` 2,00,000 plus GST ` 36,000. M/s X Ltd. remitted the GST on
or before the due date. During the audit of M/s X Ltd. books by the Central Tax Department quantified the
GST liability ` 1,08,000 and demanded to pay differential duty of ` 72,000 u/s 74 of the CGST Act, 2017.
Finally, M/s X Ltd. paid the differential GST of ` 36,000.
M/s Y Ltd. wants to avail the input tax credit of differential amount of GST, advise.
(a) Credit available (b) No credit available (c) 50% Credit (d) None of the above
Ans. (b) No credit available
Note – No credit under Section 17(5)(i) of the CGST Act, 2017 of any tax paid in accordance with the provisions
of fraud, detention, seizure and confiscation of goods or conveyance.

Q 71. An unregistered person can avail ITC on stock if he applies for registration within
(a) 60 days of becoming liable to register under GST ,(b) Immediately after becoming liable to register under
GST ,(c) 30 days of becoming liable to register under GST ,(d) Cannot avail ITC on stock
Ans.(c) 30 days of becoming liable to register under GST

Q 72. On sale, demerger, transfer, amalgamation, transferee is allowed to utilize ITC which is
(a) Unavailed in transferor books ,(b) Unutilized in e-ledger of transferor ,(c) Total ITC available to transferor ,(d)
None of above
Ans.(b) Unutilized in e-ledger of transferor

Q 73. Mr. A has applied for Registration voluntary on 01.04.19 and Registration granted on 07.04.19.
Following is the information of stock on 06.04.19
CGST SGST
1 GST on input purchased on 01.01.18 2000 2000
2 GST on input purchased on 01.07.18 contained in semi-finished 5000 5000
goods held in stock
3 GST on input purchased on 01.08.18 contained in Finished goods 10000 10000
held in stock
4 Capital goods purchased on 10.03.19 100000 100000
Determine credit available on voluntary registration
(a) CGST 15000, SGST 15000, (b) CGST 17000, SGST 17000, (c) CGST 115000, SGST 115000, (d) None of
the above
Ans. (a) CGST 15000, SGST 15000

Q74.ABC ltd started business on 01.04.18 and was not liable to registration. But from 01.07.19, he becomes
liable to registration, since his turnover exceeded Rs 20 lac. He applied for Registration on 10.07.19. Stock on
30.6.19 is as follows
CGST SGST
1 GST on input purchased on 20.11.18 2000 2000
 CA FINAL IDT GST MCQ
2 GST on input purchased on 01.04.18 contained in semi-finished 5000 5000
goods held in stock
3 GST on input purchased on 01.08.18 contained in Finished goods 10000 10000
held in stock
4 Capital goods purchased on 10.11.18 100000 100000
Calculate input tax credit available.
(a) CGST 12000, SGST 12000, (b) CGST 17000, SGST 17000, (c) CGST 115000, SGST 115000, (d) None of
the above
Ans. (a) CGST 12000, SGST 12000

Q 75.M/s PQR Ltd was paying tax under composition scheme and his Turnover crossed Rs 1 crore on
07.04.18. Following is the information of stock on 06.04.18
CGST SGST
1 GST on input purchased on 01.01.17 2000 2000
2 GST on input purchased on 01.07.17 contained in semi-finished 5000 5000
goods held in stock
3 GST on input purchased on 01.08.17 contained in Finished goods 10000 10000
held in stock
4 Capital goods purchased on 10.03.18 100000 100000
Determine credit available
(a) CGST 1,05,000, SGST 1,05,000, (b) CGST 17000, SGST 17000, (c) CGST 115000, SGST 115000, (d) None
of the above
Ans. (a) CGST 1,05,000, SGST 1,05,000

M/s A Ltd. sold plant and machinery after being used in the manufacture of taxable goods for ` 4,00,000 on 1st
November 2018. GST is payable on transaction value of pant and machinery 18%. M/s A Ltd. was purchased
this machine vide invoice dated 22nd November 2017 for ` 5,50,000/- plus GST 18%. M/s A Ltd. availed the
credit on said plant and machinery. Find the amount payable by M/s A Ltd. under section 18(6) of the CGST Act,
2017.
(a) 74,250 (b) 72,000 (c) 99,000 (d) None of the above
(a) 74,250
Note - Pay amount Higher of 2 (1) Tax on Transaction value 4 lac × 18% = 72000 (2) 99000 – 5% × 5 Qtr×
99000) i.e 74,250

Q 76. The principal can avail ITC on goods sent to job-worker which relates to
(a) Inputs ,(b) Capital goods ,(c) Inputs/capital goods directly sent to job-worker ,(d) All of above.
Ans.(d) All of above.
Q 78. The goods manufactured by PQR Ltd have been exempted from GST w.e.f 01.03.18. Earlier these were
liable to IGST @ 18%. Following is the information of stock on 28.2.18

1. Input costing Rs 118000 (including IGST @ 18%)

2. Input costing Rs 59000 (including IGST @ 18%) in process
3. Finished goods valuing Rs 472000 (including IGST @ 18%) in stock. Input cost is 50% of Value.
4. ITC on Capital goods purchased on 20.09.17 – Rs 100000
5. Balance of input tax credit in Electronic credit ledger – 150000

Department insisted PQR Ltd to reverse the credit on input referred above. However PQR Ltd contends
that credit once validly taken is indefeasible and not reversed. Determine the amount payable.
What would be your answer, if the balance in electronic credit ledger A/c as on 28.09.18 is Rs 160000?
(a) Amt. Payable – 3000, Lapse – 7000, (b) Amt. Payable – 7000, Lapse – 3000 (c) None of the above
Ans. (a) Amt. Payable – 3000, Lapse – 7000
 CA FINAL IDT GST MCQ
Q79. Katyani Security Services Ltd. provides security services to Royal Jewelers for their Jewellery
Exhibition to be organized on 5th October. When tax invoice required to be issued?
(a) on or before 4th November. (b) on or before 5th October (c) on or before 30th October (d) None
of the above
(a) on or before 4th November.

Q.80 If the supplier is an insurer/banking company /financial institution I non-banking

financialcompany, tax invoice shall be issued within-------------from the date of supply of service.
(a) 15 days (b) 30 days (c) 45 days (d) 60 days
Ans.(c) 45 days

Q.81 Banks may issue consolidated tax invoice on monthly basis. Is it true?
(a) Yes (b) No
Ans.(a) Yes

Q.82 whether a registered Goods Transport Agency (GTA) supplying taxable services is required to
issue tax invoice?
(a) Yes (b) No (c) Optional
Ans.(a) Yes

Q.83 Ticket issued in case of passenger transportation service is a tax invoice. The statement is
.
(a) True (b) False
Ans.(a) True

Q.84 When due date of payment is not ascertainable for continuous service, tax invoice shall be
issued on or before
(a) due date of payment
(b) The date when supplier receives the payment
(c) (A) or (b), whichever is earlier
(d) (a) or (b ), whichever is later
Ans.(b) The date when supplier receives the payment

Q85. A person who has applied for registration can:

(a) Provisionally collect tax till his registration is approved, on applying for registration, if he has applied for
registration within prescribed time ,(b) Neither collect tax nor claim input tax credit ,(c) Issue ‘revised invoice’ and
collect tax within 1 month of date of issuance of certificate of registration, subject to conditions ,(d) All of the
above.
Ans. (c) Issue ‘revised invoice’ and collect tax within 1 month of date of issuance of certificate of registration,
subject to conditions.

Q86. Sarabhai Private Ltd. commenced business of supply of goods on 1st April in Delhi. Its
turnover exceeded ` 20, 00,000 on 3rd September. Thus it became liable to registration on 3rd
September. It applied for registration on 29th September and granted registration certificate on
5th October. What is requirement of revised invoice
(a) may issue Revised Tax Invoices in respect of taxable supplies effected between 3rd September
and 5th October. (b) may issue Revised Tax Invoices in respect of taxable supplies effected between
1st April and 5th October. (c) may issue Revised Tax Invoices in respect of taxable supplies effected
between 29thSeptember and 5th October. (d) None of the above
Ans.(a) may issue Revised Tax Invoices in respect of taxable supplies effected between 3rd
September and 5th October.
 CA FINAL IDT GST MCQ

Q87. Jhanvi Cinemas entered into an annual maintenance contract with Peer Services Ltd. for one
year [April-March] for the Air conditioners fitted in their theaters. As per the contract, paymentfor
said services had to be made on 7th April. However, Jhanvi Services made the payment on 15th
April. When tax invoice required to be issued?
(a) on or before 7th April. (b) on or before 15th April. (c) on or before 7th May. (d) None of the
above
Ans.(a) on or before 7th April.

Q88. Jain & Sons is a trader dealing in stationery items. It is registered under GST and has
undertaken following sales during the day:
S no Recipient of supply Amount
(`)
1 Raghav Traders - a registered retail dealer 190
2 Dhruv Enterprises – an unregistered trader 358
3 Gaurav – a Painter [unregistered] 500
4 Oberoi Orphanage – an unregistered entity 188
5 Aaradhya – a Student [unregistered] 158
None of the recipients require a tax invoice [Raghav Traders being a composition dealer].
Determine in respect of which of the above supplies, Jain & Sons may issue a Consolidated Tax
Invoice instead of Tax Invoice at the end of the day?
(a) issue a Consolidated Tax Invoice only to Oberoi Orphanage [worth ` 188] andAaradhya [worth `
158] as the value of goods supplied to these recipients isless than ` 200 as also these recipients are
unregistered and don’t require atax invoice. (b) issue a Consolidated Tax Invoice to Raghav Traders
(c) issue a Consolidated Tax Invoice toDhruv Enterprises and Gaurav(d) None of the above
Ans.(a) issue a Consolidated Tax Invoice only to Oberoi Orphanage [worth ` 188] andAaradhya
[worth ` 158] as the value of goods supplied to these recipients isless than ` 200 as also these
recipients are unregistered and don’t require atax invoice.

Q.89 A registered person, Mr. X supplies goods worth Rs 170 to Mr. Y an unregistered person. Is it
mandatory to issue tax invoice separately?
(a) Yes (b) No (c) None of the above
Ans.(b) No

Q.90 A separate 'Bill of Supply' is not necessary if the value of the goods or services supplied is
Less than 200 --------------------
(a) Unless the recipient demands for such a bill (b) In every case (c) Unless required by law
(d) None of the above
Ans.(a) Unless the recipient demands for such a bill

Q91. Determine Rate of Tax & Nature of supply, if not determinable at time of advance
(a) 18%, inter-state (b) 28%, intra-state (c) 18%, intra-state (d) 28%, inter-state
Ans.(a) 18%, inter-state

Q92. The name of the State of recipient along with State code is required on the invoice where:
(a) Supplies are made to unregistered persons ,(b) Supplies are made to unregistered persons where the value
of supply is ` 50,000 or more ,(c) Inter-state supplies are made to unregistered persons where the value of
supply is ` 50,000 or more ,(d) Supplies are made to registered persons
Ans. (b) Supplies are made to unregistered persons where the value of supply is `50,000 or more
 CA FINAL IDT GST MCQ
Q.93 -----------------------shall accompany transport of goods when e-way bill is not required.
(a) Delivery Challan (b) Tax Invoice (c) Bill of Supply (d) (b) or (c)
Ans.(d) (b) or (c)

Q.94 Delivery Challan shall be prepared in-

(a) Duplicate (b) Triplicate (c) Original only (d) (a) or (b), depends on consignor
Ans.(b) Triplicate

Q. 95 Goods may be transported without issue invoice in case of?

(a) Supply of liquid gas where the quantity at the time of removal from the place of business of the
supplier is not known,
(b) Transportation of goods for job work,
(c) Transportation of goods for reasons other than by way of supply
(d) All of the above
Ans.(d) All of the above

Q.96 Credit Note is issued when----------------------------

(a) Tax invoice is found to exceed the taxa value or tax payable
(b) Goods supplied are returned by the recent
(c) Goods or services supplied are found be deficient
(d) All of the above
Ans.(d) All of the above

Q.98 Debit Note is issued when--------------------------

(a) Tax Invoice is found to be less than taxable value or tax charged
(b) Tax invoice is found to exceed the taxable value or tax payable
(c) Goods supplied are returned by the recipient
(d) Goods or services supplied are found to be deficient
Ans.(a) Tax Invoice is found to be less than taxable value or tax charged

Q99. A credit note is issued by ________ and it is a document accepted for GST purposes:
(a) Supplier, for reducing the tax/ taxable value ,(b) Recipient, for reducing the tax/ taxable value ,(c) Supplier, for
increasing the tax/ taxable value ,(d) Recipient, for increasing the tax/ taxable value
Ans. (a) Supplier, for reducing the tax/ taxable value.

Q100. For an increase in the tax/ taxable value, a debit note for GST purposes:
(a) Should be issued by the supplier ,(b) Should be issued by the recipient ,(c) May be issued by the supplier ,(d)
May be issued by the recipient
Ans.(a) Should be issued by the supplier.

Q.101 The clearing and forwarding agent or the carrier of goods shall maintain true and correct records
inrespect of
(a) Such goods handled by him on behalf of the registered person
(b) Goods supplied by him. (c) Goods procured by him. (d) All of the above.
Ans. (a) Such goods handled by him on behalf of the registered person

Q.102 Every registered person whose aggregate turnover during a financial year exceeds the prescribed
limit of --------------------------shall get his accounts audited by a chartered accountant or a cost accountant.
 CA FINAL IDT GST MCQ
(a) 2 Crore(b) 5 Crore(c) 1 Crore(d) Tax Audit
Ans. (a) 2 Crore

Q.103 What are the consequences if taxable goods are found in a place other than those declared
without valid documents?
(a) Proper officer shall impose penalty(b) Proper officer shall determine the amount of tax on such goods(c) No
consequences(d) Either of the above specified options
Ans. (b) Proper officer shall determine the amount of tax on such goods

Q.104 What shall be the treatment of incorrect entries made in the registers, accounts or documents?
(a) They shall be scored out after informing the proper officer. A log of every entry edited or deleted shall be
maintained. (b) They shall be scored out under order of officer. A log of every entry edited or deleted shall be
maintained. (c) They shall be scored out under attestation. A log of every entry edited or deleted shall be
maintained.
(d) Can be easily rectified.A log of every entry edited or deleted shall be maintained.
Ans. (c) They shall be scored out under attestation. A log of every entry edited or deleted shall be maintained.

Q105. The First return shall be filed by every registered taxable person for the period from
(a) The date on which he became liable for registration till the date of grant of registration ,(b) The date of
registration to the last day of that month ,(c) The date on which he became liable for registration till the last day of
that month ,(d) All of the above
Ans.(a) The date on which he became liable for registration till the date of grant of registration

Q106. The due date for furnishing the annual return for every financial year by every registered taxable
person other than ISD, non-resident tax payer, a person paying tax under section 10, 51 or 52 and a
casual taxable person is
(a) 30th of September following the end of the financial year ,(b) 20th of October following the end of the financial
year
(c) 31st of December following the end of the financial year ,(d) 31st of May following the end of the financial
year
Ans.(c) 31st of December following the end of the financial year

Q107. Every registered taxable person who is required to get his accounts audited under section 35(5)
shall furnish electronically
(a) Annual return ,(b) Audited copy of annual accounts ,(c) Reconciliation statement reconciling the value of
supplies declared in the return and the financial statement ,(d) All of the above
Ans. (d) All of the above

Q108. The annual return shall be filed by the registered taxable person (other than dealers paying tax
under section 10) in form
(a) GSTR 7 ,(b) GSTR 9 ,(c) GSTR 9A ,(d) GSTR 10
Ans.(b) GSRT 9

Q109. Find the correct match of annual returns to be filed

(a) Registered taxable person – Form GSTR 8 ,(b) Input service distributor – Form GSTR 9 ,(c) Non Resident
taxable person – Form GSTR 9B ,(d) Compounding taxable person – Form GSTR 9A
Ans. (d) Compounding taxable person – Form GSTR 9A