Payment of Tax Multiple Choice Questions
1. Which of these registers/ledgers are maintained online?
A. Tax liability register
B. Credit ledger
C. Cash ledger
D. All of them
Answer: D. All of them
2. Payment made through challan will be credited to which registers/ledgers?
A. Electronic Tax liability register
B. Electronic Credit ledger
C. Electronic Cash ledger
D. All of them
Answer: C. Electronic Cash ledger
3. What is deemed to be the date of deposit in the electronic cash ledger?
A. Date on which amount gets debited in the account of the taxable person
B. Date on which payment is initiated and approved by the taxable person
C. Date of credit to the account of the appropriate Government
D. Earliest of the above three dates
Answer: C. Date of credit to the account of the appropriate Government
4. What gets debited to the electronic credit ledger?
A. Matched input tax credit
B. Provisionally input tax credit
C. Unmatched input tax credit
D. All of them
Answer: D. All of them
5. Balance in electronic credit ledger can be utilized against which liability?
A. Output tax payable
B. Interest
C. Penalty
D. All of them
Answer: A. Output tax payable
6. Balance in electronic credit ledger under IGST can be used against which liability?
A. IGST Liability only
B. IGST and CGST liability
C. IGST, CGST and SGST liability
D. None of them
Answer: C. IGST, CGST and SGST liability
7. Balance in electronic credit ledger under CGST can be used against which liability?
A. CGST Liability only
B. CGST and IGST liability
C. CGST, IGST and SGST liability
D. None of them
Answer: B. CGST and IGST liability
8. Balance in electronic credit ledger under SGST can be used against which liability?
A. SGST Liability only
B. SGST and IGST liability
C. SGST, IGST and CGST liability
D. None of them
Answer: B. SGST and IGST liability
9. What should the taxable person do if he pay’s the wrong tax i.e. IGST instead of CGST/SGST orvice versa?
A. Remit tax again and claim refund
B. It will be auto-adjusted
C. It will be adjusted on application/request
D. None of the above
Answer: A. Remit tax again and claim refund
10. What should the taxable person do if he pay’s tax under wrong GSTIN?
A. Pay again under right GSTIN and claim refund
B. Auto-adjustment
C. Adjustment on application/request
D. Raise ISD invoice and transfer
Answer: A. Pay again under right GSTIN and claim refund
11. Taxable person made an online payment of tax. Due to technical snag CIN was not generatedbut my bank account is debited. What should he do?
A. Wait for 24 hours for re-credit
B. Approach bank
C. File application with department
D. File return without challan
Answer: C. File application with department
12. What is the due date for payment of tax?
A. Last day of the month to which payment relates
B. Within 10 days of the subsequent month
C. Within 20 days of the subsequent month
D. Within 15 days of the subsequent month
Answer: C. Within 20 days of the subsequent month
13. A Company has head office in Bangalore and 4 branches in different states, all registered underGST and one ISD registered unit in Delhi. How many electronic cash ledgers will the company have?
A. 1
B. 4
C. 5
D. 6
Answer: C. 5
14. What is the validity of challan in FORM GST PMT-06?
A. 1 day
B. 5 days
C. 15 days
D. Forever
Answer: C. 15 days
15. Input Tax credit as credited in Electronic Credit ledger can be utilized for
A. Payment of Interest
B. Payment of penalty, fine
C. Payment of late fees
D. Payment of Taxes
Answer: D. Payment of Taxes
16. Deposits towards tax, penalty, interest, fee or any other amount are credited into the ofa taxable person.
A. Electronic Credit Ledger
B. Electronic Tax Liability Ledger
C. Electronic Cash Ledger
D. All of the above
Answer: C. Electronic Cash Ledger
17. The Input Tax Credit as self-assessed by a taxable person is credited into the
A. Electronic Credit Ledger
B. Electronic Tax Liability Ledger
C. Electronic Cash Ledger
D. All of the above
Answer: A. Electronic Credit Ledger
18. Cross-Utilization of credit of available IGST after utilization towards payment of IGST is done inthe following chronological order :
A. CGST then SGST/UTGST
B. SGST/UTGST then CGST
C. CGST, UTGST and SGST simultaneously
D. Only IGST
Answer: A. CGST then SGST/UTGST
19. Which of the following Statements is true?
A. ITC of CGST is first utilized for payment of CGST and the balance is utilized for payment of SGST/UTGST
B. ITC of SGST is first utilized for payment of SGST and the balance is utilized for payment of CGST
C. ITC of CGST is first utilized for payment of CGST and the balance is utilized for payment of IGST
D. All of the Above
Answer: C. ITC of CGST is first utilized for payment of CGST and the balance is utilized for payment of IGST
20. A Company has head office in Bangalore and 4 branches in different states, all registered underGST and one ISD registered unit in Delhi. How many electronic cash ledgers will the company have?
A. 1
B. 2
C. 5
D. 6
Answer: C. 5
21. Over the Counter Payment can be made in branches of Banks Authorized for deposits up to` per challan per tax period?
A. 5,000
B. 10,000
C. 20,000
D. 40,000
Answer: B. 10,000
22. Which of the following shall be discharged first, while discharging liability of a taxable person?
A. All dues related to previous tax period
B. All dues related to current tax period
C. Additional demand raised
D. No such condition is mandatory
Answer: A. All dues related to previous tax period
23. Cross utilization of ITC is not allowed between :
A. CGST and SGST
B. SGST and IGST
C. IGST and CGST
D. None of the above
Answer: A. CGST and SGST
24. Tax paid on goods and services under Act is allowable both under SGST Act and CGSTAct?
A. IGST
B. CGST
C. SGST
D. VAT
Answer: A. IGST
25. ITC includes tax payable also.
A. VAT
B. Reverse Charge
C. Excise
D. Custom laws
Answer: B. Reverse Charge
26. The amounts can be credited in E-Cash ledger by
A. Internet Banking
B. Using Credit cards or Debit Cards
C. NEFT or RTGS
D. Any of the above
Answer: D. Any of the above
27. Suppose Mr. X has a SGST credit of ` 10 lakhs in his ITC ledger and at the same time, he has a CGST output liability of ` 7 lakhs. What an amount should be deposited by Mr. X to his E-Cash ledger maintained at the GSTN portal
A. No deposit is required
B. 2 Lakhs
C. 5 Lakhs
D. 7 Lakhs
Answer: D. 7 Lakhs
28. Suppose Mr. Y has a IGST credit of ` 14 lakhs in his ITC ledger and at the same time, he has a IGST liability of ` 7 lakhs, CGST liability of ` 8 lakhs and SGST liability of ` 5 lakhs. What an amount should be deposited by Mr.Y to his E-Cash ledger maintained at the GSTN portal?
A. 6 lakhs (` 1 lakhs to SGST + ` 5 lakhs to CGST)
B. 6 lakhs (` 1 lakhs to CGST + ` 5 lakhs to SGST)
C. 6 lakhs (` 1 lakhs to IGST + ` 5 lakhs to SGST)
D. 6 lakhs (` 2 lakhs to IGST + ` 4 lakhs to SGST)
Answer: B. 6 lakhs (` 1 lakhs to CGST + ` 5 lakhs to SGST)
29. Suppose Mr. Z has a credit of ` 15 lakhs in his ITC ledger and at the same time, he has an interest arrears dues of ` 16 Lakhs and penalty dues of ` 12 lakhs. If so, how much Mr. Z has to deposit to settle the above interest and penalty dues?
A. 16 Lakh
B. 28 Lakhs
C. 12 Lakhs
D. 15 Lakhs
Answer: B. 28 Lakhs
30. A taxable person failed to pay tax and / or file returns on time. He should pay interest on ?
A. Gross tax payable
B. Gross tax payable and input credit claimed
C. Net tax payable i.e. amount to be paid after ITC set off
D. No interest payable, if reasonable cause is shown
Answer: A. Gross tax payable
31. What is the rate of interest in case of belated payment of tax ?
A. 1%
B. 10%
C. 18%
D. 24%
Answer: C. 18%
32. What is the rate of interest in case of undue or excess claim of ITC ?
A. 18%
B. 24%
C. 30%
D. 40%
Answer: B. 24%
33. Mr. A was liable to pay GST of ` 10,000 on 20-8-2019 but he failed to pay. Later he decided topay tax on 26-10-2019. What would be the period for which interest has to be paid by him ?
A. 66 day
B. 67 days
C. 68 days
D. 70 days
Answer: B. 67 days
34. What is the date for applicability of TDS provisions ?
A. 1-7-2017
B. 1-1-2018
C. 1-9-2018
D. 1-10-2018
Answer: D. 1-10-2018
35. GST TDS provisions can apply where total value of such supply, under a contract, exceedsrupees .
A. 1 lakh
B. 1.5 lakhs
C. 5 lakhs
D. 2.5 lakhs
Answer: D. 2.5 lakhs
36. On what value TDS needs to be deducted ?
A. Contract value
B. Contract value excluding tax
C. Invoice value including tax
D. Invoice value excluding tax
Answer: D. Invoice value excluding tax
37. The amount deducted as tax (TDS) shall be paid to the credit of the Government by the deductorwithin .
A. Last day of the month to which payment relates
B. 10 days from the relevant period
C. 15 days from the relevant period
D. 20 days from the relevant period
Answer: B. 10 days from the relevant period
38. What is the rate of tax for tax collected at source ?
A. 0.5% each CGST and SGST
B. 2% of IGST
C. Both (a) and (b)
D. None of the above
Answer: A. 0.5% each CGST and SGST
39. What is the threshold limit for applying the provisions of Section 52 for collecting tax at source ?
A. If net value of taxable supplies exceeds ` 2,50,000
B. If net value of taxable supplies exceeds ` 5,00,000
C. If net value of taxable supplies exceeds ` 10,00,000
D. No such limit prescribed
Answer: D. No such limit prescribed
40. Can a supplier take credit of the TCS ?
A. Yes
B. No
C. Yes, on the basis of the valid return filed
D. Yes, on the basis of a valid return filed by the e-commerce operator and there is no discrepancy
Answer: D. Yes, on the basis of a valid return filed by the e-commerce operator and there is no discrepancy
41. Which section deals with the TDS provisions in GST ?
A. Section 51
B. Section 52
C. Section 53
D. Section 54
Answer: A. Section 51
42. Which section deals with the TCS provisions in GST ?
A. Section 51
B. Section 52
C. Section 53
D. Section 54
Answer: B. Section 52
43. the table supplies returned to the supplier on the electronic commerce is as adeduction while calculating the net value.
A. No, not allowed
B. Yes, allowed
C. Yes, not allowed
D. No, allowed
Answer: B. Yes, allowed
44. No TDS shall be made when
A. Location of supplier and place of supply is in a State or Union Territory which is different from the State / UT of registration of the recipient
B. Location of supplier and place of supply is in same state and location of recipient is in same state
C. Location of supplier and place of supply is in different state and location of recipient is in different state
D. None of the above
Answer: A. Location of supplier and place of supply is in a State or Union Territory which is different from the State / UT of registration of the recipient