# Concept of Time, Value & Place of Taxable Supply – CS Executive Tax Laws MCQ

Going through the Concept of Time, Value & Place of Taxable Supply – CS Executive Tax Laws MCQ Questions with Answers you can quickly revise the concepts.

## Concept of Time, Value & Place of Taxable Supply – Tax Laws CS Executive MCQs

Question 1.
Which one of the following is inter-State supply?
(a) Goods supplied by Mohan of Delhi to Radha of Delhi
(b) Goods sold by Manas of Jaipur to Vijay of Udaipur
(c) Services provided by Salman of Mumbai to Amir of Pune
(d) Goods supplied by Roshan of Punjab to Mr. Shyam of Faridabad
(d) Goods supplied by Roshan of Punjab to Mr. Shyam of Faridabad

Question 2.
The supply of Goods/Services/both, where location of supplier and the place of supply are in the same State or same Union Territory under CGST Act, 2017 and UTGST Act, 2017 is known as a ……………..
(a) Inter-State supply
(b) Export supply
(c) Intra-State supply
(d) Not Intra-State supply
(c) Intra-State supply

Question 3.
Which of the following is considered as Inter-State Supply?
(a) Supplies received from SEZ unit in Noida to Domestic Tariff Area
(b) Supplies made to SEZ developer in Kandla from Kerala
(c) Goods imported from Japan
(d) All of the Above
(c) Goods imported from Japan

Question 4.
Which of the following is not considered as Intra-State Supply?
(a) Supplies to and by SEZ
(b) Imported goods till they cross the customs frontiers of India
(c) Supplies made to a foreign tourist taking the goods out of India
(d) All of the above
(d) All of the above

Question 5.
The limit of nautical miles from base line of sea coast into the sea in order to determine the supply in territorial water as per section 9 of the IGST Act, 2017 is :
(a) Upto 7 nautical miles
(b) Upto 10 nautical miles
(c) Upto 12 nautical miles
(d) Upto 20 nautical miles
(c) Upto 12 nautical miles

Question 6.
IGST is payable for ………………..
(a) Inter-State supply
(b) Intra-State supply
(c) Both (a) and (b)
(d) None of the above
(a) Inter-State supply

Question 7.
Tax on inter-State supplies, import into India, supplies made outside India and supplies made in SEZ shall be charged to:
(a) CGST and SGST
(b) CGST and UTGST
(c) CGST and IGST
(d) IGST
(d) IGST

Question 8.
Which of the following supplies can be regarded as intra-State supply?
(a) Import of goods
(b) Export of goods
(c) Transferred to SEZ
(d) None of the above
(d) None of the above

Question 9.
Export of service does not include:
(a) The supplier of service located outside India
(b) The recipient of service located outside India
(c) The place of supply of service is outside India
(d) The supplier of service is located in India
(a) The supplier of service located outside India

Question 10.
1 Nautical Mile is equal to ……………..
(a) 1.253 Km
(b) 1.853 Km
(c) 1.583 Km
(d) None of the above
(b) 1.853 Km

Question 11.
The expression territorial waters has not been defined under GST laws. It should be understood that area up to nautical miles from base line of sea coast into the sea.
(a) 10
(b) 12
(c) 15
(d) 18
(b) 12

Question 12.
Which one of the following is inter-State supply?
(a) Supplier and Recipient are in same State
(b) Supplier and Recipient are in same Union Territory
(c) Supplier and Recipient are in, different States/Union Territory
(d) All are intra-State supplies
(c) Supplier and Recipient are in, different States/Union Territory

Question 13.
Some goods were supplied to a fishing trawler located in territorial waters near “YANAM”, a part of Union Territory of Puducherry. Which of the following statement is correct?
(a) Since the nearest base line is at YANAM, place of supply shall be the Union Territory of Puducherry
(b) IfthesupplierislocatedinPuducherry, it shall be an INTRA-STATE Supply
(c) If the supplier is located in Chennai, it shall be an INTER-STATE supply
(d) All of the above
(d) All of the above

Question 14.
Which of the following statement is incorrect?
(a) Under GST, the supplies may be Inter-State or Intra-State
(b) If the location of supplier & the place of supply is within the same State, it is an Intra-State supply
(c) If the location of supplier & the place of supply are in different same States, it is an Inter-State supply
(d) Import of goods is neither Inter-State nor Intra-State
(d) Import of goods is neither Inter-State nor Intra-State

Question 15.
In which of the following case, CGST and SGST will be levied?
(a) Supply by Mr. A of Delhi to Mr. B of Ghaziabad (UP)
(b) Supply by Mr. A of Delhi to Mr. Z of Delhi
(c) Supply by Mr. C of Chandigarh to Mr. D of Chandigarh
(d) Supply by Mr. E of Puducherry to Mr. F of Goa
(b) Supply by Mr. A of Delhi to Mr. Z of Delhi

Question 16.
What is the taxable event under GST?
(a) Manufacture of goods
(b) Receipt of consideration
(c) Supply of goods or services or both
(d) None of the above
(c) Supply of goods or services or both

Question 17.
The place of supply is important to determine the ….
(a) Kind of tax
(b) Rate of Tax
(c) Value of supply
(d) Neither (a) nor (b)
(a) Kind of tax

Question 17A.
The services under GST is …………….. in nature.
(a) Tangible
(b) Intangible
(c) Both (a) and (b)
(d) Either (a) or (b)
(b) Intangible

Question 17B.
Place of supply provisions are contained in …………
(a) CGST Act
(b) SGST Act
(c) UTGST Act
(d) IGST Act
(d) IGST Act

Question 18.
In which case, no question arises about availability of ITC?
(a) B2B supply
(b) B2C supply
(c) Supply by manufacture to retailer
(d) None of the above
(b) B2C supply

Question 19.
Tax on inter-State supplies, import into India, supplies made outside India and supplies made in SEZ shall he charged to :
(a) CGST and SGST
(b) CGST and UTGST
(c) CGST and IGST
(d) IGST
(d) IGST

Question 20.
Which section of IGST Act 2017 deals with place of Supply of services, where location of supplier and recipient is in India?
(a) Section 9
(b) Section 10
(c) Section 11
(d) Section 12
(d) Section 12

Question 20A.
Which of the following has not been defined in IGST Act?
(a) Location of supplier of services
(b) Location of recipient of services
(c) Location of supplier of goods
(d) Both (a) and (b)
(c) Location of supplier of goods

Question 20B.
The place of business, in CGST, does not include:
(a) Place from where business is ordinarily carried on
(b) Place where a taxable person maintains his books of account
(c) Place where a taxable person is engaged in business through broker
(d) Place where the recipient is situated and registered.
(d) Place where the recipient is situated and registered.

Question 20C.
Which of the following is incorrect as regards Fixed Establishment?
(a) Place characterized by sufficient degree of permanence
(c) It has sufficient human and technical resource to supply and receive services
(d) Number of staff at a location is irrelevant.
(d) Number of staff at a location is irrelevant.

Question 21.
Mr. A registered person in Delhi, is supplier of mobile Phone. Mr. B, unregistered person resides in Bihar, came to Delhi for IAS coaching, bought one mobile Phone from Mr. A. Which is the place of supply in this situation?
(a) Delhi
(b) Bihar
(c) Any of A or B
(d) None of the above
(a) Delhi

Question 22.
In case of domestic transactions involving movement of goods, the place of supply shall be location of goods at the time at which movement of goods
(a) Starts for delivery
(b) Terminates for delivery
(c) Either (a) or (b), at the option of Supplier
(d) Either (a) or (b), at the option of Recipient
(b) Terminates for delivery

Question 23.
Mr. A registered person having head office in Uttar Pradesh and it’s one of the Branch office is in West Bengal. From the branch office, Mr. A supplied tools to Mr. B registered in Rajasthan. Which is the place of supply in this situation?
(b) West Bengal
(c) Rajasthan
(d) None of the above
(c) Rajasthan

Question 24.
Mr. Murari of Nasik, Maharashtra sells electronic items to Mr. Subodh of Pune, Maharashtra for delivery at the place of Subodh in Pune. The place of supply and the nature of supply shall be:
(a) Nasik, Inter-State
(b) Nasik, Intra-State
(c) Pune, Inter-State
(d) Pune, Intra-State
(d) Pune, Intra-State

Question 24A.
Mr. Varad with registered place of business in Mumbai and having other fixed establishments in Delhi, Ghaziabad, Jaipur and Faridabad. He enters into an agreement with Mr. Vinod in Mumbai for up gradation and maintenance of software’s for his offices. The services are received in Mumbai and then the same is utilized in the other offices. What will be the location of the recipient of service by Mr. Varad?
(a) Mumbai
(d) All of the above
(a) Mumbai

Question 24B.
As per section 7(1) of IGST Act, Inter-State supply means supply of goods where the location of supplier and place of supply are in
(a) Two different states
(b) Two different UT
(c) A State and UT
(d) All of the above
(d) All of the above

Question 24C.
Which of the following is not inter-State supplies?
(a) Import of services
(b) Supplies to International tourists
(c) Import of goods when they are beyond Customs Frontier of India
(d) Supply of goods and/or services by/ to SEZ
(c) Import of goods when they are beyond Customs Frontier of India

Question 25.
Mr. Gautam of Meerut (registered in UP) asks Mr. Rohit Shetty of Mumbai (Registered in Maharashtra) to deliver goods to his buyer Mr. Motabhai at Surat, Gujarat. As per section 10(1)(2) of IGST Act, the place of supply shall be …………..
(a) Meerut (UP)
(b) Mumbai (Maharashtra)
(c) Surat (Gujarat)
(d) None of the above
(a) Meerut (UP)

Question 26.
Manish, a registered supplier under GST in Mumbai, is directed by PRC Enterprises, Andhra Pradesh to deliver goods valued at ? 2,50,000 to Kumar of Pune in Maharashtra. The goods were delivered by Manish to Kumar locally in Maharashtra. The place of supply of this transaction between Manish and PRC Enterprises shall be
(a) Mumbai, Maharashtra
(c) Pune, Maharashtra
(d) None of the above

Question 27.
As per section 10(I)(fe) of IGST Act, in case of “Bill TO Ship TO” Model, the place of supply shall be the principal place of
(a) Supplier
(b) Recipient
(c) Third person
(d) None of the above
(c) Third person

Question 28.
In case of domestic transaction of supply not involving movement of goods, the place of supply, as per section 10(I)(c) shall be …
(a) Location of supplier
(b) Location of Recipient
(c) Location of goods at the time of delivery to the recipient
(d) None of the above
(c) Location of goods at the time of delivery to the recipient

Question 29.
A purchases a machine from Mr. B, where both A and B are in Delhi. The machine, however, needs to be installed in Faridabad (Haryana). The place of supply as per section 10(I)(d) shall be
(a) Delhi
(b) Haryana
(c) Any of (a) and (b) at the option of supplier
(d) Any of (a) and (b) at the option of recipient
(b) Haryana

Question 29 A.
Mr. Anil of Delhi sells 50 motor-pumps to Mr. Bhuvan of Pune, Maharashtra for delivery at Mr. Bhuvan’s place of business in Pune. What is the place of supply of goods?
(a) Delhi
(b) Pune, Maharashtra
(c) It is not supply
(d) None of the above
(b) Pune, Maharashtra

Question 30.
Mr. Kartik located in Ghaziabad (UP) places an order to Mr. Vipul of Jaipur (Rajasthan) for installation of machinery at his factory in Wazirpur Industrial Area (Delhi). Mr. Vipul (supplier) procured different parts from two States Gujarat and Madhya Pradesh. The machine was assembled and installed in factory of Mr. Kartik in Delhi. The place of supply shall be
(a) Delhi
(b) UP
(c) Rajasthan
(d) Gujarat
(a) Delhi

Question 31.
When the goods are supplied on board or conveyance, then as per section 10(l)(c) of IGST Act, the place of supply shall be the location at which such goods are taken on board. This conveyance includes
(a) Vessel
(b) Aircraft
(c) Train or Motor Vehicle
(d) All of the above
(d) All of the above

Question 32.
Ram & Company of Delhi has taken a contract to supply of food in New Delhi-Mumbai Rajdhani Express and the supplies of food in the train are being taken on board at Kota in Rajasthan from Agarwal Food & Caterers. The place of supply in such case shall be
(a) Delhi
(b) Kota
(c) Mumbai
(d) None of the above
(b) Kota

Question 33.
Ms. P (New Delhi) boards a New Delhi-Kolkata flight to attend a business meeting at Kolkata. She buys lunch in the flight. The food items were loaded into the aircraft at New Delhi. The airline is registered in New Delhi and Kolkata. The place of supply of such food articles shall be …………..
(a) New Delhi, since it is the starting point
(b) New Delhi, since she boarded flight at Delhi
(c) New Delhi, since goods were taken on board at Delhi
(d) Kolkata
(c) New Delhi, since goods were taken on board at Delhi

Question 34.
Mr. Manmohan, an unregistered person, (New Delhi) is travelling from New Delhi to Habibganj in a train. The train starts at New Delhi and stops at four stations before reaching Bhopal. These stations are Mathura, Agra, Gwalior and Jhansi. The food items were taken into the train at Agra (UP). Mr. Manmohan buys lunch on board when the train was in Jhansi. The place of supply shall be
(a) New Delhi
(b) Mathura
(c) Agra
(d) Jhansi
(c) Agra

Question 35.
Mahima Limited located in Surat (Gujarat) is exporting goods on the basis of order received from Relto Inc. located in USA. Determine the place of supply and the type of GST to be levied.
(a) Gujarat, CGST & SGST
(b) Gujarat, IGST
(c) USA, CGST & SGST
(d) USA, IGST
(d) USA, IGST

Question 36.
CA. K. M. Bansal, registered in New Delhi provided consultancy services to his client Mr. Ravinder Singh who is a resident of Khurja (UP) but is not registered under GST. What shall be the place of supply?
(a) New Delhi ie. place of supplier as recipient is unregistered
(b) UP i.e. place of recipient as the address of Ravinder is available on records of supplier
(c) New Delhi, as it is a supply of services
(d) None of the above
(b) UP i.e. place of recipient as the address of Ravinder is available on records of supplier

Question 37.
Mr. Jhunjhunwala is located in Pune (Maharashtra) and has provided services to the following:
I. A registered person located in UP
II. A non-registered person located in Rajasthan
III. A non-registered person located in Goa whose address does not exist on record
IV. A registered person located in Pune (Maharashtra)
V. A non-resident person located in Assam
Determine the cases wherein the supply shall be treated as Intra-State.
(a) I&n
(b) n&III
(c) m&iv
(d) IV &V
(c) m&iv

Question 38.
Refreshments were supplied on board in an aircraft proceeding from Chennai to Delhi. It had a stop at Hyderabad. The refreshments were taken on board at Hyderabad. The place of supply is:
(a) Delhi
(b) Chennai
(d) None of the above

Question 39.
Mr. Vibhuti Narain, a resident of Delhi, holds an account in SBI in Delhi. He goes to Ahmedabad for work. During his visit to Ahmedabad he takes certain services relating to his account from State Bank of India in Ahmedabad in relation to some transaction to be carried out at Mumbai. What will be the place of supply in this case?
(a) Delhi
(c) Mumbai
(d) None of the above
(a) Delhi

Question 40.
Raj Kiran is a Mumbai Based interior architect. He provided his professional services in respect of building located in Film City, NOIDA (UP). The payment has been made to Raj Kiran in Delhi. The place of supply and type of GST will be:
(a) Mumbai, IGST
(b) UP, IGST
(c) Delhi, IGST
(d) UP, SGST&CGST
(b) UP, IGST

Question 41.
Amirchand is a resident and registered under GST in Delhi. He has properties in Gujarat and Himachal Pradesh also. He visited Mumbai along with family and dines in the restaurant of Taj Palace, Mumbai. The place of supply will be …………..
(a) Delhi
(b) Gujarat
(d) Mumbai
(d) Mumbai

Question 42.
Mr. Rajiv, a resident of Faridabad (Haryana) buys a ticket for a circus organised at Red Fort, Delhi by a circus company based in Kolkata. The place of supply shall be ………….
(a) Haryana
(b) Delhi
(c) West Bengal
(d) None of the above
(b) Delhi

Question 43.
Heera Singh is travelling from Delhi to Andaman & Nicobar in an Airjet flight. He watched ‘English Movie’ on demand payment basis. The place of supply shall be
(a) First Scheduled point of departure
(b) First halt after departure
(c) Point of termination
(d) None of the above
(a) First Scheduled point of departure

Question 44.
Mr. A, CEO of XY Limited, Mumbai (a company registered in Maharashtra) buys insurance cover for the inventory stored in company’s factory located at Mumbai, from Excellent Z Insurers, Chennai (registered in Tamil Nadu). The place of supply shall be….
(a) Mumbai
(b) Chennai
(c) Delhi
(d) None of the above
(a) Mumbai

Question 45.
Kingfisher Airlines registered under GST and located in Mumbai operates flight from Delhi-Dubai-London-Dubai-Delhi. Mr. Vipin who is unregistered person, purchases air ticket for Delhi-London. Two tickets are issued to him showing Delhi-Dubai with a halt at Dubai for 5 Hours and Dubai-London. The place of supply shall be
(a) Delhi
(b) Dubai
(c) London
(d) None of the above
(a) Delhi

Question 46.
Goods are imported by Mr. Prakash of Delhi from USA. The place of supply shall be
(a) USA
(b) Delhi
(c) Not a supply
(d) None of the above
(b) Delhi

Question 47.
A of Pune supplied services to B of Punjab and B is not a registered person. A does not have B’s address records. In this case, the place of supply will be:
(a) Pune
(b) Punjab
(c) GST not applicable
(d) None of the above
(a) Pune

Question 48.
Simran, an unregistered person, from New Delhi, has an account with a bank at New Delhi. She is on a vacation in Nainital and visits a bank of the same bank for getting a demand draft made. The place of supply would be
(a) New Delhi
(b) Nainital
(c) Any of (a) & (b)
(d) None of the above
(a) New Delhi

Question 49.
Mr. Devidayal (unregistered) based in Ahmedabad, solicits the services of an event management company based in New Delhi, for his daughters marriage. They plan a destination wedding at a palace in Udaipur. Since, Mr. Devidayal is unregistered, the place of supply will be:
(b) Udaipur (Rajasthan)
(c) Delhi
(d) None of the above
(b) Udaipur (Rajasthan)

Question 50.
Mr. Ravi Raj a registered person based in Ahmedabad solicits the services of an Event Management Company based in Mumbai for his daughter’s marriage planned as a destination wedding at a Palace located in Udaipur. The place of supply in this case shall be ……………… And tax to be ……………. charged under
(b) Mumbai, IGST
(c) Udaipur, IGST
(c) Udaipur, IGST

Question 51.
Go Air Airline sells various products to its passengers on board during the flight. The flight originates from Jaipur, halts at Mumbai and finally lands in Chennai. What would be place of supply of such products by the Airline company?
(a) Jaipur
(b) Chennai
(c) Location where goods were taken on board
(d) Location where passengers buying goods disembark
(c) Location where goods were taken on board

Question 52.
Export of service does not include:
(a) The supplier of service located outside India
(b) The recipient of service located outside India
(c) The place of supply of service is outside India
(d) The supplier of service is located in India
(a) The supplier of service located outside India

Question 53.
Inter-State supply of service is primarily covered in section ……………… of the IGST Act, 2017.
(a) 12
(b) 14
(c) 8
(d) 18
(a) 12

Question 54.
ABC Consultants, registered at Delhi provides GST training to employees of XYZ & Co. at Panipat, Haryana. XYZ & Co. is unregistered under GST Act. In this case, which is the place of supply?
(a) Delhi
(b) Haryana
(c) Both of the above
(d) None of the above
(b) Haryana

Question 55.
As per section 12(2) of CGST Act, 2017, where the supplier is liable to pay tax under forward charge, the time of supply shall be ….
(a) Date of issue of invoice or the last date on which supplier is required to issue invoice
(b) Date on which supplier receives the payment with respect to supplies
(c) Earlier of (a) and (b)
(d) Later of (a) and (b)
(c) Earlier of (a) and (b)

Question 55A.
Which section of the CGST Act is related with the Time of Supply of goods?
(a) Section 12
(b) Section 13
(c) Section 14
(d) Section 15
(a) Section 12

Question 55B.
The time of supply reflects:
(a) Time when GST is attracted
(b) Time when GST is collected by the supplier
(c) Time when GST is paid to Government
(d) All of the above
(a) Time when GST is attracted

Question 56.
Mr. Ram supplied goods to Mr. Laxman. The invoice is dated 30-7-2018. Payment was received for the supply on 30-10-2018. The goods were dispatched on 5-8-2018. What is the time of supply under CGST Act?
(a) 5-8-2018
(b) 30-7-2018
(c) 30-10-2018
(d) None of the above
(b) 30-7-2018
The time of supply shall be earlier of the following dates:
(a) Date of issue of invoice 30-7-2018
(b) Date of payment 30-10-2018
Time of Supply 30-7-2018
Thus, the time of supply shall be 30-7-2018

Question 57.
ABC Ltd. of Mumbai supplied goods to XYZ Ltd. of Delhi under a contract for the goods to be delivered at the factory of the buyers. Goods removed from the factory of ABC Ltd. on 19-8-2018 and were delivered in the factory of XYZ Ltd. of Delhi on 26-8-2018. Invoice for the supplies was raised by ABC Ltd. on 18-8¬2018. Payment of the bill was received on 20-9-2018. The time of supply in this case under GST be taken as :
(a) 9-8-2018
(b) 16-8-2018
(c) 18-8-2018
(d) 20-9-2018
(a) 9-8-2018
The time of supply shall be earliest of the following dates:
(a) Actual Date for issue of invoice
(Since issued has been issued within time limit) —- 18-8-2018
(b) Date of payment —- 20-9-2018
Time of Supply —- 18-8-2018
Thus, the time of supply shall be —- 18-8-2018.

Question 58.
Kamal has supplied goods to Mr. X on 24-12-2017. The invoice had already been raised on 22-12-2017. Mr. X has paid the due amount on 29-12-2017. The receipt was entered in books of account by Kamal on 30-12-2017. But, the same was credited in his bank account on 2-1-2018. In this case, the time of supply shall be
(a) 22-12-2017
(b) 30-12-2017
(c) 2-1-2018
(d) 25-12-2017
(a) 22-12-2017

Question 59.
ABC Ltd., supplied goods to XYZ Ltd. under a contract for the goods to be delivered to the factory of XYZ Ltd. The goods were removed from the factory of ABC Ltd. on 9th September, 2018 and the goods were delivered to the factory of XYZ Ltd. on 15th September, 2018.The invoice was issued on 18th September, 2018 and the payment was credited to ABC’s account on 20th Oct. 2018 although the entry in the books was made on 19th Sept., 2018 when the Cheque was received. The time of supply in this case will be:
(a) 18th September, 2018
(b) 9th September, 2018
(c) 15th September, 2018
(d) 20th October, 2018
(a) 18th September, 2018
The time of supply shall be earliest of the following dates:
(a) Date of issue of actual invoice (Since issued within time —- 22-12-2017 limit)
(b) Date of payment entered in the books of account —– 30-12-2017
(c) Date on which amount credited in bank account —- 2-1-2018
Time of Supply (Earliest) —– 22-12-2017
Thus, the time of supply shall be ——- 22-12-2017

Question 59A.
What is the time of supply of goods under Reverse Charge Mechanism?
I. Date of removal of goods II. Date of receipt of goods
III. Date of payment by the recipient
IV. date of payment in the books of recipient
V. Date of receipt in the books of supplier
VI. Date of debit in the bank account of recipient
VII. Date immediately following 30 days from the issue of invoice by supplier
VIII. Date immediately following 60 days from the issue of invoice by supplier
(a) Earlier of II, IV, VI & VII
(b) Earlier of II, IV, VI & VIII
(c) Earlier of I, HI, V & VII
(d) Earlier of I, HI, V & VIE
(a) Earlier of II, IV, VI & VII

Question 59B.
Varun Bros, supplied to Mr. Rishi certain goods, which are liable to be paid on Reverse Charge Basis. The following details are available:
(i) Date of receipt of goods by Rishi = 12-1-2020
(ii) Date on which payment is made by Rishi = 18-2-2020
(iii) Date on which above payment is entered in books by Rishi = 20-2-2020
(iv) Date on which above payment is debited in Bank A/c of Rishi = 21 – 2-2020
(v) Date of issue of invoice by Varun Bros. = 10-1-2020
Based on this information, what is the Time of Supply?
(a) 12-1-2020
(b) 18-2-2020
(c) 20-2-2020
(d) 21-2-2020
(b) 18-2-2020

Question 60.

 Date of Removal 1-10-2019 Date of Invoice 2-10-2019 Goods available to recipient 3-10-2019 Date of receipt of Payment 15-11-2019

The Time of Supply as per Section 12 of CGST Act, 2017 is:
(a) 1-10-2019
(b) 2-10-2019
(c) 3-10-2019
(d) 15-11-2019
(a) 1-10-2019

Question 60A.
Under CGST, the liability to pay tax on supply of goods shall arise at ……….
(a) Time of supply
(b) Time of Payment
(c) Time of recording of transaction
(d) Time of issue of invoice
(a) Time of supply

Question 61.
XYZ Ltd. has purchased for its customers 100 vouchers dated 24-12-2019 worth ₹ 1,000 each from ABC Ltd., a footwear manufacturing company. The values were issued by ABC Limited on 25-12-2019. The vouchers can be enchashed at retail outlets of Abe Ltd. the employees of XYZ Ltd. enchashed the same on 1-1-2020. The time of supply vouchers will be:
(a) 24-12-2019
(b) 25-12-2019
(c) 1-1-2020
(d) None of the above
(b) 25-12-2019

Question 61A.
Sunil purchases a Sony Bravia-48 inch LED TV from Janki Dass Bros, on November 24, 2020 for ₹ 32,000, under Diwali Bumper offer. Sunil gets a voucher which can be used to purchase any item in the outlet up to ₹ 3,000. The rate of GST is different for different items in the outlet. The time of supply of voucher shall be ….
(a) Date of Time of supply of goods due to which voucher is received
(b) Date of issue of Voucher
(c) Date of redemption of Voucher
(d) Earliest of the above
(c) Date of redemption of Voucher

Question 61B.
Services of Technical testing are provided on November 8, 2020 by High Tech Services to Rishi Enterprises. Invoice is issued on November 16,2020. The payment is received on 10th December, 2020. Time of supply is ……………..
(a) 8-11-2020
(b) 16-11-2020
(c) 10-12-2020
(d) None of the above
(b) 16-11-2020

Question 62.

 Date of actual provision of service 10-11-2019 Date of Invoice 30-11-2019 Date on which payment received 15-11-2019

The Time of supply of services under Section 13(2) of CGST Act is:
(a) 15-11-2019
(b) 10-11-2019
(c) 30-11-2019
(d) 25-11-2019
(a) 15-11-2019

Question 63.
The invoice has not been issued within 30 days and payment is received after completion of service. The time of supply will be:
(a) Date of invoice
(b) Date of Completion of service.
(c) 30 days after completion of service
(d) Date of Payment
(b) Date of Completion of service.

Question 63A.
Naman received an order from Suresh for supply of goods at agreed price of ₹ 1,20,000 on 10-11-2019. He issued invoice on 21-12-2019. Removal of goods was done on 27-12-2019 and Suresh received such goods on 2-1-2020. Suresh paid ₹ 50,000 as advance on 11-11-2019 and balance on 5-1-2020. What will be the time of supply of goods
(a) 11-11-2019
(b) 21-12-2019
(c) 27-12-2019
(d) 5-1-2020
(b) 21-12-2019

Question 63B.
Determine the time of supply of goods under forward charge from the following particulars:
(i) Date of removal = 8-10-2020
(ii) Date of invoice = 10-10-2020
(iii) Date when goods made available to recipient = 12-10-2020
(iv) Date of receipt of payment = 5-10-2020
(a) 5-10-2020
(b) 8-10-2020
(c) 10-10-2020
(d) 12-10-2020
(b) 8-10-2020

Question 63C.
After notification number 66/2017 dated 15th November, 2017, which of the following is not considered while determining time of supply of goods under forward charge
(a) Date of removal
(b) Date of payment
(c) Date of Invoice
(d) All are considered
(b) Date of payment

Question 63D.
You are given the following particulars:
(i) Date of Invoice = 7-10-2020
(ii) Date of receipt of payment = 3-10-2020
(iii) Date when goods made available to recipient = 5-10-2020
Determine time of supply if supply does not involve movement of goods.
(a) 3-10-2020
(b) 5-10-2020
(c) 7-10-2020
(d) None of these
(b) 5-10-2020

Question 64.
KMB Ltd. receives the order and advance payment on 25-1-2020 for carrying out an architectural decision job. It delivers the designs on 30-4-2020. By oversight, no invoice is issued at that time, and it is issued on 15-10-2020. The time of Supply service is:
(a) 15-10-2020
(b) 25-01-2020
(c) 30-4-2020
(d) None of these
(b) 25-01-2020

Question 65.
Varad of Delhi received taxable services from Daniel Inc. of USA on 1-12-2019 for which an invoice was raised on same date. Varad made payment of services on 5-3-2020. The time of supply of service is:
(a) 1-12-2019
(b) 31-12-2019
(c) 31-1-2020
(d) 5-3-2020
(c) 31-1-2020

Question 66.

 Date of Supply of service 4-10-2019 Date of Invoice 28-9-2019 Date of Payment 30-9-2019

The GST rate has been changed w.e.f. 1-10 -2019. The time of supply is ………….. & ………….. rate of GST shall be applicable.
(a) 28-9-2019, Old Rate
(b) 28-9-2019, New Rate
(c) 30-9-2019, Old Rate
(d) 30-9-2019, New Rate
(a) 28-9-2019, Old Rate

Question 66A.
During the course of search, it was found that 300 units were dispatched on 12th October, 2020 but no invoice was made. These units were not entered in the accounts. There was no evidence of receipt of payment. The due date of October return is 20th November, 2020. What is the time of supply of 300 units?
(a) 12th October, 2020
(b) 20th November, 2020
(c) Date of furnishing GSTR-1
(a) 12th October, 2020

Question 67.
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 the time of Supply
(b) At the time of Supply
(c) 6 Months from the date of removal
(d) Earliest of above three.
(d) Earliest of above three.

Question 67A.
Manav has introduced new product in the market. Since, there are so many competitors; he started selling goods on approval basis. What shall be the time of supply in respect of following information:
a. Removal of goods = 1-12-2019
b. Issue of invoice = 25-7-2020
c. Accepted by recipient = 25-7-2020
d. Receipt of payment = 20-7-2020
(a) 1-12-2019
(b) 2-6-2020
(c) 20-7-2020
(d) 25-7-2020
(b) 2-6-2020

Question 67B.
Sultan International supplied goods to Wazir for ₹2,50,000 on 18-6-2020. Payment for the same can be made up to 30-6-2020 without any interest. But, Beyond 30-6-2020, Interest was payable @ ₹ 500 per day subject to a maximum of 50% of the invoice value. Wazir paid 20 days after the due date. After negotiations, the late charges (₹10,000) settled at ₹ 8,000 and payment was made on 24-7-2020. The time of supply as per section 12(6) of CGST Act in respect of ₹ 8,000 shall he :
(a) 18-6-2020
(b) 30-6-2020
(c) 11-7-2020
(d) 24-7-2020
(d) 24-7-2020

Question 67C.
Consider the following in respect of sale on approval basis transaction:
(i) Date of removal of goods=30-7-2019
(ii) Issue of invoice by supplier = 20-12-2019
(iii) Payment by recipient = 6-1-2020
(iv) Acceptance by recipient=20-12-2019
What shall be the time of supply?
(a) 30-7-2019
(b) 20-12-2019
(c) 6-1-2020
(d) Earliest of the above
(b) 20-12-2019

Question 68.
In case of supplies in respect of which tax is paid or liable to be paid on reverse charge basis, the time of supply shall be the, namely:
(a) The date of the receipt of the goods
(b) The date of payment as entered in the books of account of the recipient or the date on which the payment is debited in his bank account, whichever is earlier
(c) The date immediately following 30 days from the date of issue of invoice or any other document, by whatever name called, in lieu thereof by the supplier.
(d) Earliest of the above dates in (a), (b) and (c)
(d) Earliest of the above dates in (a), (b) and (c)

Question 69.
If the supply is identifiable at the point at which Voucher is issued, the time of supply shall be
(a) Date of issue of Voucher
(b) Date of redemption
(c) 3 months from the date of issue
(d) Earlier of (a) and (c)
(a) Date of issue of Voucher

Question 70.
When an unregistered dealer supplied goods to a registered dealer, the time of supply under reverse charge shall be earliest of the :
(a) date of receipt of goods
(b) date of supply of goods
(d) date of intimation of supply of goods
(a) date of receipt of goods

Question 71.
Date on which the supplier receives the payment as per section 12 of CGST Act is
(a) Date entered in books of account
(b) Date of credit in bank account
(c) Date entered in books of account or date of credit in bank account, whichever is earlier
(d) Date on which receipt voucher is issued by supplier
(c) Date entered in books of account or date of credit in bank account, whichever is earlier

Question 72.
What is the time of supply of vouchers when the supply with respect to the voucher is not identifiable?
(a) Date of issue of voucher
(b) Date of redemption of voucher
(c) Date of entry in books of account
(d) Earlier of (a) or (b) or (c)
(b) Date of redemption of voucher

Question 73.
What is time of supply of goods liable to tax under reverse charge mechanism?
(a) Date of receipt of goods
(b) Date on which the payment is made
(c) Date immediately following 30 days from the date of issue of invoice by the supplier
(d) Earlier of (a) or (b) or (c)
(d) Earlier of (a) or (b) or (c)

Question 74.
Section 12(6) prescribes that the time of supply to the extent it relates to an addition in the value of supply by way of interest, late fee or penalty for delayed payment of any consideration shall be the date on which
(b) the supplier becomes entitled to such
(c) Earlier of (a) and (b)
(d) None of the above

Question 75.
What is the time of supply of service if the invoice is not issued within 30 days from the date of provision of service?
(a) Date of issue of invoice
(b) Date on which the supplier receives payment
(c) Date of provision of service
(d) Earlier of (b) & (c)
(d) Earlier of (b) & (c)

Question 76.
What is the time of supply of service in ……….. case of reverse charge mechanism?
(a) Date on which payment is order to supplier
(b) Date immediately following 60 days from the date of issue of invoice
(c) Date of invoice
(d) Earlier of (a) and (b)
(d) Earlier of (a) and (b)

Question 77.
What is the time of supply of service if ………. the invoice is issued within 30 days from
the date of provision of service?
(a) Date of issue of invoice
(b) Date on which the supplier receives payment
(c) Date of provision of service
(d) Earlier of (a) & (b)
(d) Earlier of (a) & (b)

Question 78.
In case of supplies in respect of which tax is paid or liable to be paid on reverse charge basis, the time of supply shall be ………..
(a) The date of payment as entered in the books of account of the recipient or the date on which the payment is debited in his bank account, which ever is earlier, or
(b) The date immediately following 60 days from the date of issue of invoice or any other document, by whatever name called, in lieu thereof by the supplier.
(c) Earlier of (a) and (b)
(d) Later of (a) and (b)
(c) Earlier of (a) and (b)

Question 79.
The time of supply “where goods or services or both have been supplied in a situation where the invoice issued before the change in the rate of tax but payment received after the change in rate of tax”, as per section 14 of the CGST Act, 2017 shall be:
(a) Date of issue of invoice
(b) Date of receipt of payment or the date of issue of invoice whichever is earlier
(c) Date of receipt of payment
(d) None of the above
(a) Date of issue of invoice

Question 80.
What is the time of supply of service where services are received from an associated enterprise located outside India?
(a) Date of entry of services in the books of account of recipient of service
(b) Date of payment
(c) Earlier of (a) & (b)
(d) Date of entry of services in the books of the supplier of service
(c) Earlier of (a) & (b)

Question 80A.
On September 12, 2020, Surbhi Limited provides computer consultancy to Ganesh vide invoice dated October 2, 2020. Ganesh had paid entire consideration in advance even before the provision of service i.e. on 5th September, 2020. The time of supply of services shall be
(a) 5th September 2020
(b) 12th September 2020
(c) 2nd October 2020
(d) None of these
(a) 5th September 2020

Question 80B.
Sumit is a registered supplier of plastic goods. On 10th April, 2020, Sumit received an order from Veenu for supply of a consignment of plastic goods. Sumit gets the consignment ready by 15th April, 2020. The invoice for the consignment was issued on 16th April, 2020. Veenu collects the consignment from the Godown of Sumit on 25th April, 2020 and hands over the cheque towards payment on the same date. The said payment is entered in the books of account of Sumit on 26th April, 2020 and amount is credited in their bank account on 27th April, 2020. Determine the time of supply of the plastic goods supplied by Sumit to Veenu as per the provisions of CGST Act, 2017.
(a) 16-4-2020
(b) 26-4-2020
(c) 27-4-2020
(d) None of the above
(a) 16-4-2020

Question 80C.
Masoom Limited receive the order and advance payment on 4th October 2020 for carrying out an architectural design job for the office of Mr. Shyam. By oversight, no invoice is issued at that time and it is issued much later on December 22, 2020. The designs were delivered on 1st November 2020. When is the time of supply of service?
(a) 4-10-2020
(b) 1-11-2020
(c) 22-12-2020
(d) Latest of above
(a) 4-10-2020

Question 80D.
A machine has to be supplied at site. It is done by sourcing various components from vendors and assembling the machine at site. The details of the Determine the time of supply(ies) in the above scenario for the purpose of payment of tax.

 17th Sep­tember Purchase order with ad­vance of ₹ 50,000 is received for goods worth ₹ 12 lakh and entry duly made in the seller’s books of account 20th Octo­ber The machine is assembled, tested at site, and accepted by buyer 23rd Octo­ber Invoice raised 4th No­vember Balance payment of ₹ 11,50,000 received

(a) 17th September (₹ 50,000); 4th November (₹ 11,50,000)
(b) 17th September (₹ 50,000); 23rd October (₹ 11,50,000)
(c) 20th September (₹ 12,00,000)
(d) 20th October (₹ 12,00,000)
(d) 20th October (₹ 12,00,000)

Question 80E.
Determine the time of supply from the following particulars:

 8th September Community hall booked for a marriage, sum ag­reed ₹ 1,20,000, advance ₹ 20,000 recorded in the books of account 10th September Advance amount credited in bank account 2nd November Marriage held in the Community hall 18th December Invoice issued for ₹ 1,20,000 indicating the balance of ₹ 1,00,000 payable 22nd December Balance ₹ 1,00,000 recorded in the books of accounted in the books of account 24th December Payment ₹1,00,000 credited to the bank account

(a) 8th September (₹ 20,000); 2nd November (₹ 1,00,000)
(b) 8th September (₹ 20,000); 18th November (₹ 1,00,000)
(c) 10th September (₹ 1,20,000)
(d) 22nd December (₹ 1,20,000)
(a) 8th September (₹ 20,000); 2nd November (₹ 1,00,000)

Question 81.
Allahabad Bank has provided the following detail in respect of a service provided by it.

 1 Date of Supply of Services 6-12-2017 2 Date of issue of Invoice (Within 45 days of pro­vision of service) 10-1-2018 3 Date of receipt of payment 18-12-2017

(a) 6-12-2017
(b) 10-1-2018
(c) 18-12-2017
(d) None of the above
(c) 18-12-2017
The time of supply shall be earlier of the following:
1 Date of issue of Invoice 10-1-2018
(Since it has been issued within 45 Days)
2 Date of receipt of payment — 18-12-2017
Being, the earlier of the two dates, the time of supply shall be 18-12-2017.

Question 82.
Jindal Consultancy services, provides the following details:

 1 Date of Supply of Services 16-12-2017 2 Date of issue of Invoice 28-1-2017 3 Date of entering the payment in the books of supplier 29-1-2018 4 Date of credit of pay­ment in bank account 1-2-2018

Determine the time of supply of service.
(a) 16-12-2017
(b) 29-1-2018
(c) 1-2-2018
(d) None of the above
(a) 16-12-2017

Amount (₹)
1 Date of Supply of Services — 16-12-2017
2 Date of issue of Invoice — NA (Note 1)
3 Date of entering the payment in the books of supplier — 29-1-2018
4 Date of credit of payment in bank account — 1-2-2018
Time of supply (Earliest of all the dates) — 16-12-2017
Note 1: In the given case, the invoice has not been issued within time limit. Therefore, the date of supply of service shall be considered and not the date of invoice

Question 83.
Determine the time of supply from the following information: 83A. An income-tax

 May 4 Supplier invoices goods taxable on reverse charge basis to Shiv Hari (30 days from the date of issuance of invoice elapse on June 3) June 12 Shiv-Hari receives the goods July 3 Shiv-Hari makes the payment for goods

(a) 4 May
(b) 4 June
(c) 12 June
(d) 3 July
(b) 4 June

 Event Date Date of receipt of goods by Shiv-Hari 12 June The date of payment 3 July The date immediately following 30 days from the date of issue of invoice (ie. the 31st day from the date of issuance of invoice by supplier) 4 June Point of Supply (Earliest) 4 June

Question 83A.
An income-tax and money laundering case against Mr. XYZ, working in a multinational company, reveals a large volume of undisclosed assets (on 11th June, 2020), which he claims as service income. On this basis, the GST authorities investigate the GST liability (on 14th July 2020). Dates of provision of service, whether in the first half or the second half of the financial year being scrutinised by income-tax authorities, are not known. Mr. XYZ voluntarily pays GST (on 5th August 2020)during the investigation. What is the time of supply of the services?
(a) 11-6-2020
(b) 14-7-2020
(c) 5-8-2020
(d) 20-9-2020
(c) 5-8-2020

Question 83B.
Alkane Chemicals Limited Engaged the services of Choudhary Transporters for road transport of a consignment on 28 November 2020 and made advance payment for the transport today’s after i.e. on 30th November 2020. On account of “Kisan Aandolon” nationwide, the consignment could not be sent immediately and instead was sent on 12-12-2020. Invoice was received from the Transporter on 14-12-2020. What is the time of supply of GTA, if it comes under the purview of RCM?
(a) 28-11-2020
(b) 30-11-2020
(c) 12-12-2020
(d) 14-12-2020
(b) 30-11-2020

Question 83C.
Shyam Limited is located in India and holding 60% of shares of Dwarka Limited, a UK based company. Dwarka Limited provides business auxiliary services to Shyam Limited, with the following particulars:
(i) Date of service by Dwarka 21-10-2020
(ii) Invoice issued by Dwarka 28-10-2020
(iii) Date of debit in the books of Shyam 5-11-2020
(iv) Date of payment by Shyam 12-2-2021
In the light of section 13(3) of CGST Act, 2017 of relating to supply by associated Enterprises, what is the time of supply of services by Dwarka Limited?
(a) 21-12-2020
(b) 28-10-2020
(c) 5-11-2020
(d) 12-2-2021
(c) 5-11-2020

Question 83D.
Kanu & Kanu is located in India and holding 69% of shares of Prince Ltd., a Hungarian based company. Prince Ltd. provides Business Auxiliary Services to Kanu & Kanu Ltd. From the following details, determine the time of supply & Kanu & Kanu Ltd.:

 Agreed consideration US$5,00,000 Date on which services are provided by Prince Ltd. 15-12-2020 Date on which invoice is sent by Prince Ltd. 18-12-2020 Date of debit in the books of account of Kanu & Kanu Ltd. 29-12-2Q20 Date on which payment is made by Kanu & Kanu Ltd. 31-12-2020 (a) 15-12-2020 (b) 18-12-2020 (c) 29-12-2020 (d) 31-12-2020 Answer: (c) 29-12-2020 Question 83E. Consider the following supply by issue of voucher (for the same nature of service) valid for 6 months. The vouchers are issued after supply of first service: (i) First service = 14-9-2020 (ii) Issue of voucher = 14-9-2020 (iii) Redemption of voucher = 20-1 -2021 (iv) Last date for acceptance of voucher = 13-3-2021 What is the time of supply of services provided by voucher? (a) 14-9-2020 (b) 20-1-2021 (c) 13-3-2021 (d) Latest of these Answer: (a) 14-9-2020 Question 83F. Varad Enterprises provides three different taxable services with varying rate of GST rates. On the occasion of New Year, the firm issued vouchers of ₹ 2,000 and ₹ 3,000 to Ram and Mohan respectively on 1st January 2020. The voucher issued to Ram can be redeemed for one specific service whereas the voucher issued to Mohan can be redeemed for either of the three services or partly for any combination of three services. The vouchers can be redeemed within one month only. Both redeemed the vouchers on 28th January 2020. What will be the time of supply of these vouchers. (a) 1st January 2020 (b) 28th January 2020 (c) 1st Jan. 2020 (Ram) & 28th Jan. 2020 (Mohan) (d) 1st Jan. 2020 (Mohan) & 20th Jan. 2020 (Ram) Answer: (c) 1st Jan. 2020 (Ram) & 28th Jan. 2020 (Mohan) Question 83G. An online portal, Best Info, raises in-voice for database access on 21 st February 2020 on Roy & Bansal Ltd. The payment is made by Roy & Bansal Ltd. by a demand draft sent on 25th February 2020, which is received and entered in the accounts of Best Info on 28th February 2020. Best Info encash the demand draft and there after, gives access to the database to Roy & Bansal Ltd. from 3rd March 2020. In the meanwhile, the rate of tax is changed from 1st March, 2020. What is the time of supply of the service of database access by Best Info? (a) 21-2-2020 (b) 25-2-2020 (c) 28-2-2020 (d) 3-3-2020 Answer: (a) 21-2-2020 Question 83H. Mr. A buys a motor car from a card dealer. Mr. A has made payment for the same and car dealer has issued an invoice in respect of the same on 25th October, 2019. The car was to be delivered on 1st November, 2019 on occasion of his birthday. On 26th October, 2019, the rate of tax applicable to motor car was revised upward, and the car dealer is demanding differential amount of tax. Which rate of tax shall be applicable? (a) Old rate only (b) New rate only (c) Rate as per the option of supplier (d) Rate as per the option of recipient Answer: (a) Old rate only Question 83-I. The rate of GST has been changed w.e.f. 1-10-2020. Following particulars are given:  (i) Date of supply of service 4-10-2020 (ii) Date of Invoice 30-9-2020 (iii) Date of payment 8-10-2020 What will be the Time of Supply and applicable GST rate? (a) 30-9-2020; Old Rate (b) 30-9-2020; New Rate (c) 8-10-2019; Old Rate (d) 8-10-2019; New Rate Answer: (a) 30-9-2020; Old Rate Question 83J. A service provider supplied service on 25-12-2020 for a value of ₹ 10,00,000. He issued invoice for the same on 5th January, 2021. The payment for the same was made on 8th January 2021. What is the time of supply as per section 14 of CGST Act, 2017? (a) 25-12-2020 (b) 5-1-2021 (c) 8-1-2021 (d) Latest of above Answer: (b) 5-1-2021 Question 84. Value of supply under section 15(1) is: …………… (a) Wholesale price (b) Market value (c) Maximum retail price (d) Transaction value Answer: (d) Transaction value Question 85. Discount given after the supply is deducted from the value of supply, if- …. (a) Such discount is given as per the agreement entered into at/or before the supply (b) Such discount is linked to the relevant invoices (c) Proportionate input tax credit is reversed by the recipient of supply (d) All of the above Answer: (d) All of the above Question 86. Subsidy given by the Central Government or a State Government while determining value of taxable supply under Goods and Services Tax (GST) as per section 15 of the CGST Act, 2017: (a) included in the transaction value ie. (value of taxable supply) (b) just ignored no treatment (c) shall not be included in transaction value ie. (value of taxable supply) (d) deducted from the transaction value ie. (value of taxable supply) Answer: (c) shall not be included in transaction value ie. (value of taxable supply) Question 87. Which of the following shall not be included in value of supply (a) GST (b) Interest (c) Late fee (d) Commission Answer: (a) GST Question 88. Which of the following though shown in bill not be included in determining the value of supply for the purpose of GST (a) Packing (b) Discount (c) Interest for late payment (d) Installation Charges Answer: (b) Discount Question 89. When the supplier and recipient are not related and price is the sole consideration for supply, the valuation is done as per (a) Section 15(1) (b) Section 15(2) (c) Section 15(3) (d) All of the above Answer: (d) All of the above Question 90. In respect of supplies notified by the Central Government, on the recommendation of GST Council, the valuation is done as per (a) Section 15(5) (b) Rule 32 (c) Both (a) & (b) (d) None of the above Answer: (c) Both (a) & (b) Question 91. The value of supply should include: (a) Any non-GST taxes, duties, Cesses, fees charged separately by supplier (b) Interest, late fee or penalty for de-layed payment of any consideration for any supply (c) Subsidies directly linked to the price except subsidies provided by the Central and State Governments (d) All of the above Answer: (d) All of the above Question 92. When supplier and recipient are related and price is NOT the sole consideration, the valuation is done as per: (a) Section 15(l)/(2)/(3) (b) Section 15(4) and Rules (27 to 31) (c) Section 15(5) and Rule 32 (d) None of the above Answer: (b) Section 15(4) and Rules (27 to 31) Question 93. Which of the following subsidy will not be included in transaction value as per section 15(2)? (a) Subsidy provided by Central Government (b) Subsidy provided by NGO (c) Subsidy provided by company under corporate governance (d) All of the above Answer: (a) Subsidy provided by Central Government Question 94. A him training Institute has subsidized its course on account of subsidies received. Which of the following shall be included in the value of supply (a) Subsidy from Cine Association, Mumbai (b) Subsidy from US Government (c) Subsidy from Warren Brothers of Hollywood (d) All of the above Answer: (d) All of the above Question 95. Mishra Enterprises had made supplies of ₹ 5,50,000 to Bee Kay Enterprises. Municipal Authorities of Jaipur on such supplies levied the tax @ 10% of ₹ 55,000. CGST and SGST chargeable on the supply was of ₹ 66,000-Packing charges not included in the price of t 5,50,000 amounted to ₹ 15,000. Subsidy of ₹ 25,000 was received from an NGO on the sale of such goods and the price of ₹ 5,50,000 is after taking into account the amount of subsidy so received. Discount offered is @ 1% which was mentioned on the invoice. The value of supply in this case shall be (a) ₹ 6,45,000 (b) ₹ 6,39,500 (c) ₹ 6,20,000 (d) ₹ 6,38,550 Answer: (b) ₹ 6,39,500 Question 96. Where a laptop is supplied for ₹ 40,000 along with the barter of a printer that is manufactured by the recipient and the value of the printer known at the time of supply is ₹ 4,000 but the open market value of the laptop is not known, the value of the supply of the laptop is (a) ₹ 44,000 (b) ₹ 40,000 (c) ₹ 6,000 (d) ₹ 4,000 Answer: (a) ₹ 44,000 Since supplier and recipient are related, valuation cannot be done on the basis of Section 15(1). Question 97. What will the value of supply of the mobile phone sold by Micromax to Anil Kumar for ₹ 35,000 in exchange with of his old mobile phone. The sale price of the new mobile phone without exchange is ₹ 40,000. The value of old mobile phone so exchange with of ₹ 7,000. (a) ₹ 35,000 (b) ₹ 40,000 (c) ₹ 42,000 (d) ₹ 33,000 Answer: (b) ₹ 40,000 Question 98. The rule 28 is applicable: (a) When the supply is between distinct persons (b) Where the supplier and recipient are related (c) Both (a) & (b) (d) None of the above Answer: (c) Both (a) & (b) Question 99. If a lottery is not allowed to be sold in any State other than the organizing State, then it is treated as lottery …………by the State Government: (a) Run (b) Authorised (c) Allowed (d) None of the above Answer: (a) Run Question 100. The supply of lottery is covered under (a) Supply of goods (b) Supply of services (c) Neither goods nor services (d) Both goods and services Answer: (a) Supply of goods Question 101. As per Notification No. 2/2017, the Supply of lottery is exempt from GST if : (a) The Supplier of lottery is any person other than Government/Union territory/Local authority. (b) The appropriate GST was paid when lottery was supplied by Government/ Union territory/Local authority to the authorized distributor. (c) Both (a) and (b) conditions are satisfied (d) No such condition is there Answer: (c) Both (a) and (b) conditions are satisfied Question 102. Which of the following statement(s) is/are correct (a) Section 15 of CGST Act prescribes different provisions for valuation of goods and services (b) CGST Act and IGST Act have different provisions for valuation of supply (c) Section 15 of CGST Act prescribes same set of provisions for valuation of goods and services (d) (a) and (b) Answer: (c) Section 15 of CGST Act prescribes same set of provisions for valuation of goods and services Question 103. Shivani Enterprises has sold goods with list price ₹ 40,000 to a customer. A discount of 10% is given to the customer, which is reflected in invoice, to arrive at the final price of ₹ 36,000. The transaction value is …….. (a) ₹ 40,000 (b) ₹ 36,000 (c) ₹ 44,000 (d) None of the above Answer: (b) ₹ 36,000 Question 104. X Limited and Y Limited are related person as per explanation to section 15 of CGST Act, 2017. X Limited sold goods to Y Limited at ₹ 80,000. The similar goods are sold by X Limited in the open market at ₹ 1,25,000. Is the valuation possible as per section 15(1)? Also find out the transaction value as per the applicable provisions. (a) Yes, ₹ 1,25,000 (b) No, ₹ 1,25,000 (c) Yes, ₹ 80,000 (d) No, ₹ 80,000 Answer: (b) No, ₹ 1,25,000 Question 105. The US$ 3,000 are converted into UK £ 2,200. The RBI reference rate at that time for US $is ₹ 63 per US dollar and for UK £ is ₹ 85 per UK Pound. What will be the Value of supply (a) ₹ 1,870 (b) ₹ 1,250 (c) ₹ 1,95,000 (d) None of the above Answer: (a) ₹ 1,870  Step I Find out value converted into Indian Rupees Value 1= US Dollar converted into Indian Currency = US$ 3,000 @ ₹ 63 = ₹ 1,89,000 Value 2= UK Pound converted into Indian Currency = UK £2,200 @ ₹ 85 = ₹ 1,87,000 Step II Take lesser of the two amounts as calculated in step I Lower of ₹ 1,89,000 or ₹ 1,87,000 ie. 1 1,87,000 Step III Value of Supply = 1 % of value determined in Step II = 1% of ₹ 1,87,000 = ₹ 1,870

Question 106.
Mr. A, an air travel agent, has provided the following details for February, 2018.

 Basic air fare collected for domestic booking of tickets ₹ 5,00,000 Basic air fare collected for international booking of tickets ₹ 15,00,000

Determine the total value of taxable supply of services.
(a) ₹ 2,15,000
(b) ₹,25,000
(c) ₹ 1,75,000
(d) ₹ 2,00,000
(c) ₹ 1,75,000
The value of supply shall be ₹ 1,75,000 (ie. aggregate of 5% of ₹ 5,00,000 and 10% of ₹15,00,000).

Question 107.
Vinod is an air travel agent. For the month of March 2018, he has collected ₹ 22,00,000 (Basic Fare for Domestic Booking) and ₹ 30,00,000 (Basic Fare for International Booking). Determine the value of taxable supply of services as per rule 32(3) of CGST Rules, 2017.
(a) ₹ 4,10,000
(b) ₹ 52,00,000
(c) ₹ 22,00,000
(d) ₹ 30,00,000
(a) ₹ 4,10,000
The value of supply shall be determined as follows:

 Type of Booking Calculations Value of Supply Domestic ₹22,00,000 @ 5% 1,10,000 International ₹ 30,00,000 @ 10% 3,00,000 Total Value of Supply of services 4,10,000

Question 108.
“Santosh Interiors” have charged ₹ 3,77,600 from their client in respect of services provided in the Month of February, 2018. The rate of GST is 18%. The amount ₹ 3,77,600 is inclusive of GST and Tax has not been shown separately in the invoice. Determine the amount of total Tax included in invoice.
(a) ₹ 3,77,600
(b) ₹ 2,15,000
(c) ₹ 65,000
(d) ₹ 57,600
(d) ₹ 57,600
Tax amount = Value inclusive of taxes $$\frac{\text { Tax Rate in } \%}{(100+\text { Tax rate in } \%)}$$
$$= 3,77,600 \times \frac{18}{(100+18)}=\approx 57,600$$

Question 109.
Babbur Automobiles of Jaipur has supplied the goods of ₹ 2,66,090 to Goel Automobiles of Ajmer in the month of March, 2019. The supply so made was inclusive of tax charged as CGST and SGST which on the products so sold as per rates prescribed under CGST 2017 is @ 18% The value of supply as per Rule 35 of the CGST Rules, 2017 of such supply shall be
(a) ₹ 2,66,090
(b) ₹ 2,25,000
(c) ₹ 3,13,986
(d) ₹ 2,25,500
(d) ₹ 2,25,500

Question 110.
Goa Government has issued 1,600 tickets of Mahalakshmi weekly lottery (Face Value per ticket is ₹ 1,000 whereas the price as notified by official Gazette is ₹ 800) to Bhuvan Limited, who is one of its lottery distributor. This lottery can be sold by Bhuvan Limited even outside Goa. The applicable GST rate is 28%. The recipient of Supply is Head Office of Bhuvan Limited located at Pune, Maharashtra. What is the value of Supply as per relevant sub-rule of Rule 31A of CGST Rules, 2017.
(a) ₹ 1,25,000
(b) ₹ 1,35,000
(c) ₹ 16,00,000
(d) None of the above
(a) ₹ 1,25,000
As per Rule 31 A(2)(a), the value of supply for lottery authorised by State Government shall be deemed to be 100/128 of the face value of tickets or of the price as notified in the official gazette by the organizing states, whichever is higher.
Value of Supply = No. of tickets × Face Value × $$\frac{100}{128}$$= 1600 × 100 × $$\frac{100}{128}$$ =₹ 1,25,000

Question 111.
As per subrule (3) of Rule 31A, the value of Supply of actionable claim in the form of chance to win in betting, gambling of horse racing in a race shall be……….. of the face value of the bet or the amount paid into the totalisator.
(a) 80%
(b) 100%
(c) 100/112
(d) 120%
(b) 100%

Question 112.
Which one of the following is treated as incidental expenses under section 15(2)(c)
(a) Commission
(b) Packing Expenses
(c) Weighment Charges
(d) All of the above
(d) All of the above

Question 113.
The selling price of a notebook is ₹ 50. For notebooks sold to students in Government schools, a company uses its CSR funds to pay the seller ₹ 30, so that the students pay only ₹ 20 per note book. The value of the notebook will be as this is a non-government subsidy.
(a) ₹20
(b) ₹ 30
(c) ₹ 50
(d) ₹ 80
(c) ₹50
Since the subsidy is given by person other than the Government, it will be added to the value of supply of the supplier who receives the subsidy. Accordingly, the value of the notebook would be ₹ 50

Question 114.
A supply priced at ₹ 10,000 is made, with a credit period of 1 Month for payment. Thereafter, interest of 12% is charged. The payment is received after the lapse of three Months from the date of supply. The amount of 12% p.a. (i.e. 1% per month) on ₹ 10,000 for two months after the free credit period is ₹ 300. Such interest will be to the value.
(b) Deducted
(d) None of the above
(b) Deducted
As per section 15(2)(d), the value for a supply will include not only the base price but also the charges for delay in payment. Therefore, the interest will be added in the value.

Question 115.
Chitra Advertisers conceptualised and designed the advertising campaign for a new product launched by New Moon Private Ltd. for a consideration of ₹ 5,00,000. Chitra Advertisers owed ₹ 20,000 to one of its vendors in relation to the advertising service provided by it to New Moon Private Ltd. Such liability of Chitra Advertisers was discharged by New Moon Private Ltd. New Moon Private Ltd. delayed the payment of consideration and thus, paid ₹ 12,712 as interest. Assume the rate of GST to be 18%. The value of taxable supply made by Chitra Advertisers is
(a) ₹ 5,32,712
(b) ₹ 5,20,000
(c) ₹ 5,12,712
(d) ₹ 5,00,000
(a) ₹ 5,32,712
Computation of Value of Taxable Supply

 Service Charges 5,00,000 Discharge of liability of supplier 20,000 Interest for delay in payment 12,712 Value of Taxable Supply 5,32,712

Question 116.
Smart Ltd. provides you the following particulars relating to goods supplied by it:

 Particulars Amount List price of the goods (exclu­sive of Taxes and discounts). 3,00,000 Special packing at the request of customer to be charged to the customer. 15,000 Duty levied by local authority on the sale of such goods. 30,000 CGST and SGST charged in invoice. 36,000 Subsidy received from a NGO (The price of ₹ 3,00,000 given above is after considering the subsidy) 10,000

Smart Ltd offers 5% discount of the List price of the goods which is recorded In the invoice for the goods. Determine the value of taxable supp1Íe made by Smart Ltd.
(a) ₹ 3,91,000
(b) ₹ 3,55,000
(c) ₹ 3,40,000
(d) None of these
(c) ₹ 3,40,000

Question 117.
Surya Agencies has agreed to supply goods to customer’s premises. Goods valued, ₹80,000 are taxable at 5% IGST as it is an inter-State supply. It also pays freight arid transit insurance of ₹ 12,000. GTA is a registered entity and has charged GST (6% CGST and 6% SGST) under forward charge. What is the Invoice value of supply including IGST.
(a) ₹ 92,000
(b) ₹ 96,600
(c) ₹ 97,000
(d) None of the above
(b) ₹ 96,600

Question 118.
AVON Electronics sells branded LED to Mr. Kishore for ₹ 45,000. However, an option is given to Kishore to pay instalments of ₹ 17,000 every month before 5th day of the following month, over next 3 months. Kishore agrees to pay by way of monthly instalment. What is Value of Supply
(a) ₹ 45,000
(b) ₹ 51,000
(c) ₹ 62,000
(d) None of these
(b) ₹ 51,000

Question 119.
Prithvi Theaters organized a musical evening and charged ₹ 2,500 per person (any age). The State Government imposed entertainment tax @ 5%, which was also collected by the organizer. The GST is 18%. What is the Value of Supply at which GST shall be charged.
(a) ₹ 2,500
(b) ₹ 2,625
(c) ₹ 3,098
(d) None of these
(b) ₹ 2,625

Question 120.
Subhash Ghai owns a film coaching institute in Pune. The usual change per student is ₹ 2,50,000 per student for 1-year training programme, total amount being programme, total amount being payable at the time of admission. The training programme is subsidized as follows:

 (i) State Government of Maharashtra ₹ 10,000 per student (ii) Cine Association, Mumbai ₹ 25,000 per student (iii) Government of USA ₹ 30,000 per student (iv) Central Govern­ment ₹ 15,000 per student

Consequently, the institute charges ₹ 17,000 + GST @ 18%. What is Value of Supply?
(a) ₹ 1,70,000
(b) ₹ 2,00,600
(c) ₹ 2,25,000
(d) None of these
(c) ₹ 2,25,000

Question 121.
Consider the following:

 Transaction Value ₹ 4,00,000 Value of Taxable Supply ₹ 6,00,000 Rate of GST 9% CGST 9% SGST

Customer (inclusive of GST)?
(a) ₹ 4,72,000
(b) ₹7,08,000
(c) ₹ 5,08,000
(d) None of these
(c) ₹ 5,08,000

Question 122.
As per the definition of Family given in section 2(49) of CGST Act, 2017? Which of the following is not included in Family?
(a) Dependent Parents
(b) Grand-Parents (Dependent or not)
(c) Dependent brothers
(d) Children of the person
(b) Grand-Parents (Dependent or not)

Question 123.
What are the provisions of the valuation rules applicable?
(a) Consideration is not in money terms
(b) Parties are related
(c) Transaction value is not reliable
(d) All of the above
(a) Consideration is not in money terms

Question 124.
Which of the following will not be included in value of supply?
(b) Commission paid to agent by supplier and recovered from buyer
(c) Packing Charges
(d) Testing and Certification Charges

Question 125.
Sita decided to gift a watch to her friend Gita. She requests the supplier to pack the watch in a particular packing to give it an attractive look. The special packing charges (₹ 500) is separately paid by Sita. Sita also paid for the watch. Which of the following statement is true about cost of packing?
(a) It will not be included in value of supply.
(b) It can be included if paid along with the price of the watch.
(c) It can be included if it is reflected in invoice
(d) It will be included in value even if paid separately.
(d) It will be included in value even if paid separately.

Question 126.
As per section 15(2), which of the following subsidy will be included in value of taxable supply?
(a) Provided by Central Government
(b) Provided by State Government
(c) Provided by NGO, not linked to Price.
(d) Provided by NGO, directly linked to Price.
(d) Provided by NGO, directly linked to Price.

Question 127.
Purshottam rents out a commercial building owned by him to Aakash for the month of December for which he charged a rent of ₹ 3,00,000. The owner paid the following:
Out of above, only maintenance charges have been reimbursed to Purshottam by Aakash and others are borne by the landlord. What is the Value of Supply for the month of December?
(a) ₹ 3,00,000
(b) ₹ 3,10,000
(c) ₹ 3,42,000
(d) ₹ 3,40,000
(b) ₹ 3,10,000

Question 128.
Mr. X, a money changer, has exchanged US $10,000 to Indian rupees @ ₹ 64 per US$. Mr. X.
(a) ₹ 6,40,000
(b) ₹ 6,400
(c) ₹ 3,700
(d) None of these
(c) ₹ 3,700

Question 129.
Rolex Forex Private Limited, registered in Delhi, is a money changer. It has undertaken the following purchase and sale of foreign currency: 1,000 US $are purchased from Rajesh Enterprises at the rate of ₹ 68 per US$. RBI reference rate for US \$ on that day is ₹ 68.60. What is the value of supply in each of the above cases in terms of Rule 32(2)(a) of the CGST Rules, 2017.
(a) ₹ 250
(b) ₹ 600
(c) ₹ 680
(d) None of these
(b) ₹ 600

Question 130.
When the supplier offers discount to his customer in such a manner that there is increase in discount with increase in purchase volume, it is called as
(a) Volume Discount
(c) Normal Discount
(d) Staggered Discount
(d) Staggered Discount

Question 131.
Hamdard Laboratories is a manufacturer of Rose Thandai. The company sells it to retail shop-keepers and gives 10 bottles free along with purchase of every 100 bottles. The price printed on the bottle is ₹ 500 per bottle, but the transaction value is ₹ 430 per bottle. During a month, the firm sold 25,000 bottles and gave away 2,500 bottles free to the retail-shopkeepers. What is the amount of GST @18%?
(a) ₹ 19,35,000
(b) ₹ 21,28,500
(c) ₹ 22,50,000
(d) ₹ 24,75,000
(a) ₹ 19,35,000

Question 132.
Gagan Limited supplied a machine from its establishment located in Delhi to Dharti Limited @ ₹ 5,00,000. The company supplied such machines during the same period to independent recipient @ ₹ 7,31,600 (including GST @ 18%). What is Open Market Value in accordance with the provisions of CGST Act and the rules made thereof. It is given that Gagan Limited and Dharti Limited are related persons.
(a) ₹ 5,00,000
(b) ₹ 6,20,000
(c) ₹ 7,31,600
(d) None of these
(b) ₹ 6,20,000

Question 133.
As per Rule 30, where the value of a supply of goods or services or both is not determined by any of preceding Rules, the value shall be 110% of the …………
(a) Cost of production or manufacture
(b) Cost of acquisition of such goods
(c) Cost of provision of such services
(d) Any of the above
(d) Any of the above

Question 134.
Shiv sells a LED to Rahul for ₹ 40,000. Rahul provides free consultancy to Shiv (value of such consultancy is ₹ 8,000). The same LED is normally sold by Shiv to unknown person for ₹ 68,000. What is the value of supply of LED as per Rule 27 of CGST Rules, 2017
(a) ₹ 40,000
(b) ₹ 48,000
(c) ₹ 68,000
(d) None of these
(c) ₹ 68,000

Question 135.
Mr. A sells a product to Mr. B for ₹ 18,000. Mr. B provided free consultancy to Mr. B valued at ₹ 3,000. The normal value of product is not available. The value of supply of product to Mr. B will be
(a) ₹ 18,000
(b) ₹ 21,000
(c) ₹ 15,000
(d) None of the above
(b) ₹ 21,000

Question 136.
Zindagi Life Insurance Company Limited (ZLICL) has collected premium from subscribers and it intimates the amount allocated for investment to subscribers at the time of collection of premium. During the month of September 2018, it has collected the following receipts:

 SI. No. Particulars Amount 1. Premium for only risk cover 25,00,000 2. Premium from new subscribers 40,00,000 3. Renewal Premium 80,00,000 4. Single premium on an annuity policy 1,00,00,000

All amounts are exclusive of tax. What is the value of supply by ZLICL in accordance with GST laws.
(a) ₹ 55,00,000
(b) ₹ 45,00,000
(c) ₹ 35,00,000
(d) ₹ 25,00,000
(a) ₹ 55,00,000

Question 137.
A Limited is a software development company with specialisation in application and system softwares. It controls 40 per cent equity share capital in B Limited. A Limited develops an integrated ERP for B Limited for ₹ 7,80,000. A similar integrated software is developed by A Limited for an unrelated customer for ₹ 10,00,000. B Limited is eligible for full Input Credit for this input supply. What is the value of supply as per second proviso to Rule 28
(a) ₹ 7,80,000
(b) ₹ 10,00,000
(c) Either (a) or (b), at the option of supplier
(d) None of the above
(a) ₹ 7,80,000

Question 138.
Which of the following is the residual method for determination of value of supply ………
(a) Rule – 28
(b) Rule-29
(c) Rule – 30
(d) Rule – 31
(d) Rule – 31

Question 139.
The time of supply in case of voucher is “time of issue of voucher”, if the supply is against the voucher.
(a) Identifiable
(b) Not identifiable
(c) Variable
(d) Indecisive
(a) Identifiable

Question 140.
Mr. Kalakar is a famous painter registered under GST in UP. In an art exhibition organised by “Lalit Kala Academy” in Delhi, he sends his art work. The visitor is allowed to purchase any painting exhibited for cash immediately. Suppose, the painting of Mr. Kalakar is purchased by one visitor, then at what point of time, supply is considered to have been made under GST
(a) When painting is completed by Mr. Kalakar
(b) When painting is sent from UP to Delhi for exhibition
(c) When painting is displayed at the exhibition by Lalit Kala Academy
(d) When painting is sold to one of the visitors in the exhibition
(d) When painting is sold to one of the visitors in the exhibition

Question 141.
The rate of GST has been changed from 28% to 18% w.e.f. June 1.Date of supply of services: 10 June Date of issue of invoice: 9 June Date of receipt of payment: 28 May What will be the time of supply in accordance with section 14 of CGST Act, 2017
(a) June 9
(b) June 10
(c) June 1
(d) May 28
(a) June 9

Question 142.
In case of notified supplies, the value of supply is determined as per …………. of CGST Rules, 2017.
(a) Rule 30
(b) Rule 31
(c) Rule 32
(d) Rule 33
(c) Rule 32

Question 143.
The transaction value as per section 15(1) shall be the value of supply if ……..
(a) Supplier and recipient are not related
(b) Price is the sole consideration
(c) Rule 27 is applicable
(d) Both (a) and (b)
(d) Both (a) and (b)

Question 144.
In case of supply through an agent, which of the following Rule is applicable for valuation
(a) Rule 27
(b) Rule 28
(c) Rule 29
(d) Rule 30
(c) Rule 29

Question 145.
Mr. Krishna has received an advance of ₹ 1,00,000 from his client in respect of service to be provided. But, Mr. Krishna is not sure about the rate of tax and the nature of supply of this service, which will be determined at the time of provision of service only. What will be the rate of tax and nature of supply of a service
(a) 10%, Inter-State supply
(b) 10%, Intra-State supply
(c) 18%, Inter-State supply
(d) 18%, Intra-State supply
(c) 18%, Inter-State supply

Question 146.
As per section 15(3) of CGST Act, 2017, any discount given after the supply is deducted from the value of taxable supply, if ……………
(a) such discount is given as per the agreement entered into at/or before the supply
(b) such discount is linked to the relevant invoices
(c) proportionate input tax credit is reversed by the recipient of supply
(d) All of the above
(d) All of the above

Question 147.
“GM Sales Ltd.” is a public limited company duly incorporated under the answers.
Companies Act, 2013 with its registered office in Delhi, where it ordinarily carries on its business of taxable goods. The company has a warehouse in NOIDA for storage of such taxable goods. What will be the place of business of “GM Sales Ltd.” under GST laws
(a) Delhi only
(b) NOIDA only
(c) Both (a) and (b)
(d) Either (a) or (b)