GST Exam MCQ- Part 3
(Multiple Choice Questions)
Q Capital goods under CGST Act 2017 include-
(a) Goods, the value of which is capitalized in the books of accounts
(b) Goods which are used or intended to be used in the course or furtherance of business
(c) Both (a) and (b)
(d) Immovable Property only
Ans. (c) Both (a) and (b) Refer [Section 2(19) of CGST Act 2017 ]
Q If Mr. A, having his registered head office at Punjab and his operating branch office at Chandigarh which is also registered under GS., Mr A is providing consultancy services from his Chandigarh office to his client who is placed at Haryana. What would be the location of supplier of services in this case?
(a) Punjab
(b) Chandigarh
(c) Harnaya
(d) All of the above
Ans. (b) Chandigarh Refer [Section 2(71) of CGST Act 2017 : Location of Supplier of Services]
Q. While repairing the office building, few goods were also supplied along with the labour service. Whether it is a :
(a) Composite Supply
(b) Mixed Supply
(c) Works Contract Service
(d) Job work Service
Ans. (c) Works Contract Service [Refer Section 2(119) of CGST Act 2017 :Work contract Services]
Q Gifts given by employer to employee will also qualify as supply under CGST Act if value of Gifts
A Exceeds Rs 50000 in a Financial year
B Equal to Rs 50000 in a Financial year
C Exceeds Rs 50000 per month
D Equal to Rs 50000 per month
Answer A) Exceeds Rs 50000 in a Financial year [ Refer proviso to clause 2 of Schedule I of CGST Act 2017 ]
Q which of the following types of supplies is covered under the scope of supply under CGST Act 2017 ?
(a) import of services for a consideration
(b) import of services for a consideration whether or not in the course or furtherance of business
(c) import of services for a consideration in the course or furtherance of business
(d) import of services not in the course furtherance of business
Ans. (b) import of services for a consideration whether or not in the course or furtherance of business [ [ Refer Section 7 of CGST Act 2017 ]
Q What is the maximum rate prescribed under CGST Act 2017 ?
(a) 12%
(b) 28%
(c) 20%
(d) 40%
Ans. (c) 20% [ Refer Section 9(1) of CGST Act 2017 ]
Q Who will notify the rate of tax to be levied under CGST Act 2017 ?
(a) State Governments with recommendations by Central Government
(b) Central Government on its own
(c) GST Council suo moto
(d) Central Government as per the recommendations of the GST Council
Ans. (d) Central Government as per the recommendations of the GST Council [ Refer Section 9(1) of CGST Act 2017 ]
Q Which of the following Immovable property is treated as neither supply of goods nor supply of services under GST
(a) sale of Land and sale of Building ( after Completion Certificate or first occupation)
(b) sale of Land only
(c) sale of building only
(d) sale of Land and sale of Building ( before Completion Certificate or first occupation)
Answer a) sale of Land and sale of Building ( after Completion Certificate or first occupation) [ Refer Schedule III of CGST Act 2017 read with entry 5(b) of schedule II of CGST Act 2017 ]
Q As per CGST Act 2017 , renting of immovable property is treated as
a) Supply of Goods
b) Supply of Services
c) Partly as Supply of Goods and Partly as supply of Services
d) Neither as Supply of Goods nor as Supply of Services
Answer b) Supply of Services [ Refer Schedule II, Central Goods And Services Tax Act, 2017 ]
Q As per CGST Act 2017 , works contract services is is treated as
a) Supply of Goods
b) Supply of Services
c) Partly as Supply of Goods and Partly as supply of Services
d) Neither as Supply of Goods nor as Supply of Services
Answer b) Supply of Services [ Refer Schedule II, Central Goods And Services Tax Act, 2017 ]
Q As per CGST Act 2017, any transfer of the title in goods is a
a) Supply of Goods
b) Supply of Services
c) Partly as Supply of Goods and Partly as supply of Services
d) Neither as Supply of Goods nor as Supply of Services
Answer a) Supply of Goods [ Refer Schedule II, Central Goods And Services Tax Act, 2017 ]
Q As per CGST Act 2017 , development of information technology software is
a) Supply of Goods
b) Supply of Services
c) Partly as Supply of Goods and Partly as supply of Services
d) Neither as Supply of Goods nor as Supply of Services
Answer b) Supply of Services [ Refer Schedule II, Central Goods And Services Tax Act, 2017 ]