“IGNITE ACADEMY”

CS Executive – GST – Test – Ch. 3, 4, 5 & 7 – NS – 2023

Time – 70 min Marks - 40
SECTION A – MCQS’ – ANSWER WITH REASONS – 2 MARKS EACH
1. The following categories of registered persons are not being eligible for the
Compensation Scheme under the CGST Act, 2017 –
(i) Supplier of the Restaurant Services
(ii) Manufacturer of notified goods
(iii) Non-Resident taxable person
(iv) Casual Taxable Person
(a) (iii) and (iv)
(b) (ii), (iii) and (iv)
(c) (ii) and (iv)
(d) (i), (iii) and (iv)
2. Verma is a retail trader of textile goods at Puducherry. His turnover was Rs. 90
lakh for the FY 2022-23. He has opted for composition scheme under GST. How
much is the amount of tax payable by him?
(a) CGST Rs. 45,000 and UTGST Rs. 45,000;
(b) UTGST Rs. 90,000
(c) IGST Rs. 45,000 and SGST Rs. 45,000;
(d) CGST Rs. 45,000 and SGST Rs. 45,000;
3. Q Ltd., Kanpur supplied goods to R Ltd. of Delhi. The goods were removed on
20.10.2020 and were delivered on 23.10.2020. The invoice was issued on
02.11.2020 and the payment for supply was received on 31.12.2020. What is the
limit of supply?
(a) 31.12.2020; (b) 23.10.2020; (c) 20.10.2020; (d) 02.11.2020
4. A is an Air Travel Agent. He collected Rs. 50,000 (Basic Fare domestic booking) and
Rs. 100,000 (Basic Fare for International Booking). As per Rule 32 of CGST Rules,
2017, the value of supply under this case will be –
(a) Rs. 2500; (b) Rs. 7500; (c) Rs. 12,500; (d) Rs. 15,000.
5. Shishir a practicing company secretary was asked to handle legal work pertaining
to incorporation of LMN Pvt. Ltd. He incurred registration fee? Rs. 20,000 and
name approval fee Rs. 1,000 paid to ROC. He recovered the above said amounts
and his fee of Rs. 10,000. Determine the value of supply treating Shishir as pure
agent.
(a) Rs. 31,000; (b) Rs. 21,000; (c) Rs. 10,000; (d) Rs. 10,500.
 SECTION B – Descriptive Questions
1. Gokahle & Sons is registered in Karnataka and paying GST under composition scheme,
provides the following details for the tax period ended on 31st December, 2020 –
Sr. No. Particulars Amount (Rs.)
1. Taxable Turnover of goods within state 25,00,000
2. Exempted turnover of goods within state 27,00,000
Calculate the total GST without bifurcation between CGST and SGST to be paid by
Gokhale & Sons for the tax period ended on 31st December, 2020 in following
independent situation on the basis of details of turnover as given –
(i) If Gokhale & Sons is Manufacturer
(ii) If Gokhale & Sons is Trader [5 M]
2. M/s XYZ & Co., a firm of Chartered Accountants, issued invoice for services rendered to
Mr. A on 7th September, 2020. Determine the Time of Supply in the following
independent cases –
(1) The provision of service was completed on 1st August, 2020.
(2) The provision of service was completed on 14th August, 2020.
(3) Mr. A made the payment on 3rd August, 2020 where provision of service was
remaining to be completed.
(4) Mr. A made the payment on 15th September, 2020 where provision of service was
remaining to be completed. [4 M]
3. Vayu Ltd. provides you the following particulars relating to goods supplied by it to Agni
Ltd.
Particulars Amount (Rs.)
List price of the goods (exclusive of Taxes and discounts) 76,000
Special packing at the request of customer to be charged to the 5,000
customer.
Duty levied by local authority on the sale of such goods 4,000
CGST and SGST charged in invoice 14,400
Subsidy received from a NGO (The price of Rs. 76,000 given above is 5,000
after considering the subsidy)
Vayu Ltd. offers 3% discount of the list price of the goods which is recorded in the
invoice for the goods. Determine the value of taxable supplies made by Vayu Ltd. [5]
4. UPS Ltd. of Hyderabad supplied a power generator to TK Tyres Ltd. of Tamil Nadu and
charged the following amounts to the supply –
Particulars Rs.
Price of generator before taxes and cash discount 900,000
Other charges not included in the above price -
Packing charges 15,000
Designing charges for the generator 18,000
Freight 12,000
Transit insurance 12,000
Following additional information are also furnished –
(a) Rate of GST – 18%
(b) A cash discount @3% on price is given to the customer at the time of supply and
the same is also recorded in the invoice.
Calculate the value of supply and the GST payable. [5]
5. Explain the meaning of the term “Pure Agent” for CGST purposes. [3]
6. Jayant Pvt. Ltd. of Jaipur (Rajasthan) provides the following information of the supplies
made for the year 2020-21 –
Sr. No. Particulars Amount (Rs.)
1. Sale of high speed diesel on which Sales Tax (VAT) levied 800,000
by Rajasthan Government
2. Supply of goods directly by Principal from the place of 900,000
Jayant Pvt. Ltd. after completion of job work done by
Jayant Pvt. Ltd.
3. Taxable outward supply within Rajasthan 600,000
4. Inward supply of services on which GST to be paid by 500,000
Jayant Pvt. Ltd. under reverse charges
5. Outward supply on which GST to be paid by recipient 100,000
under reverse charges
Calculate the aggregate turnover for the purpose of registration under CGST Act,
2017 and State whether Jayant Pvt. Ltd. is a liable for registration or not.
Also provide brief reasons for the treatment of various items given above in the
context of provisions of CGST Act, 2017.
Note – All the above amounts are exclusive of taxes of any nature. [5]
7. State when a registration granted under the CGST Act, 2017 to a taxable person can be
cancelled and what should be done by such person after cancellation of registration in
the electronic cash ledger or electronic credit ledger? [3]