1. Unadjusted ITC Credit at the end of a financial Year is carried forwarded to Next Financial Year except in the case of :

(A)  Zero-Rated Supply ( Export Supply)
(B) Inverted Tax Structure
(C) Both (A) and (B) above
(D) All ITC Carried Forwarded without any Refund

2. The unutilized ITC in the electronic ITC Ledger will be allowed to a new entity on business as a whole transfer, merger, demerger, amalgamation and on lease if the transfer deed provides for:

(A) Transfer of all the Assets of the Existing Business Concern
(B) Transfer of all the Liabilities of the Existing Business Concern
(C) Transfer of both Assets and Liabilities of the existing business concern including credit on Electronic Cash Ledger
(D) Any of the Above

3. Suppose, One Dealer paying tax under Normal Scheme switch over in to Composition Scheme. What will be the fate of his already ITC availed existing stock and Credit balance on Electronic ITC Ledger?

(A) Reversal of ITC on Existing Stock by Debiting the Electronic ITC Ledger and Electronic Cash Ledger
(B) The balance ITC Ledger after Reversal of ITC on Stock will be lapsed
(C) Both (A) and (B) above
(D) No Reversal of ITC

4. The Proposed Penalty for availing IPT without actual receipt of goods and /or services will be:

(A) 10,000/- or wrongly availed IPT whichever is higher
(B) 25,000/- or wrongly availed IPT whichever is higher
(C) 50,000/- or wrongly availed IPT whichever is higher
(D) No Penalty at all.

5. The Unadjusted Cenvat Credit under earlier law will be transferred and credited to :

(A) IGST ITC
(B) CGST ITC
(C) SGST ITC
(D) Any of the Above

6. The Unadjusted VAT Credit under earlier law will be transferred and credited to :

(A) IGST ITC
(B) CGST ITC
(C) SGST ITC
(D) Any of the Above

7. If a dealer paying Tax under Composition scheme in earlier law, switch over to normal scheme in GST, the treatment of Tax element involved in the stock will be:

(A) No ITC Credit
(B) ITC Credit subject to eligibility
(C) Refund of Tax Element
(D)None of the Above

8. What will be a Taxable Event in GST?

(A) Manufacture
(B) Taxable Supply of Goods and Services
(C) Both (A) and (B) above
(D) None of the Above


9. All the existing Registered Dealers under existing laws will be automatically migrated in to GST on provisional basis except:

(A) Local VAT Dealer
(B) Dealer having both VAT and CST
(C) Manufacturing Units remitting Cenvat
(D) ISD


10. The Order of the Utilisation of the SGST ITC Credit will be:

(A) IGST OPT,CGST OPT and SGST OPT
(B) CGST OPT,IGST OPT and SGST OPT
(C) SGST OPT,IGST OPT and No Utilisation over CGST OPT
(D) SGST OPT,CGST OPT and No Utilisation over IGST OPT



More MCQs on Goods and Services Tax (GST)