{"id":24322,"date":"2023-05-09T11:51:48","date_gmt":"2023-05-09T06:21:48","guid":{"rendered":"https:\/\/gstguntur.com\/?p=24322"},"modified":"2023-05-09T11:53:04","modified_gmt":"2023-05-09T06:23:04","slug":"registration-ca-inter-tax-question-bank","status":"publish","type":"post","link":"https:\/\/gstguntur.com\/registration-ca-inter-tax-question-bank\/","title":{"rendered":"Registration \u2013 CA Inter Tax Question Bank"},"content":{"rendered":"

Registration \u2013 CA Inter Tax Question Bank<\/a>\u00a0is designed strictly as per the latest syllabus and exam pattern.<\/p>\n

Registration \u2013 CA Inter Tax Question Bank<\/h2>\n

Question 1.
\nDetermine with brief reasons, whether the following statements are True or False :
\nRegistration under the CGST Act, 2017 can be cancelled by the proper officer, if the voluntarily registered person has not commenced the business within three months from the date of Registration. (Nov 2018, 1.5 marks)
\nAnswer:
\n(i) The said statement is False.
\nRegistration under the CGST Act, 2017 can be cancelled by the proper officer, if the voluntarily registered person has not commenced the business within six months from the date of registration.<\/p>\n

\"Registration<\/p>\n

Question 2.
\nState the persons who are not liable for registration as per the provisions of Section 23 of Central Goods and Service Tax Act, 2017. (Nov 2018, 5 marks)
\nAnswer:
\nAs per provisions of Section 23 of CGST Act, 2017, the persons who are not liable for registration are as under-
\n(a) Person engaged exclusively in supplying goods\/services\/both that are wholly exempt from tax.
\n(b) Person engaged exclusively in supplying goods\/services\/both that are not liable to tax.
\n(c) Agriculturist to the extent of supply of produce out of cultivation of land.
\n(d) Persons only engaged in making supplies of taxable goods or services or both liable to reverse charge.
\n(e) Persons making inter-State supplies of taxable services up to an aggregate turnover of \u20b9 20 lakh (\u20b9 10 lakh in case of special category
\nStates except Jammu and Kashmir).<\/p>\n

(f) Casual Taxable Persons making taxable supplies of specified handicraft goods up to an aggregate turnover of \u20b9 20 lakh \u20b9 10 lakh in case of special category States except Jammu and Kashmir) subject to specified conditions.<\/p>\n

\"Registration<\/p>\n

(g) Persons making inter-State supplies of specified handicraft goods up to an aggregate turnover of \u20b9 20 lakh (\u20b9 10 lakh in case of special category States except Jammu and Kashmir) subject to specified conditions.<\/p>\n

(h) Job workers making inter-State supply of services to a registered person up to an aggregate turnover of \u20b9 20 lakh (\u20b9 10 lakh in case of special category States except Jammu and Kashmir) subject to specified conditions.<\/p>\n

(i) Persons making supplies of services through an electronic commerce operator (other than supplies specified under section 9(5) of the CGST Act) up to an aggregate turnover of \u20b9 20 lakh (\u20b9 10 lakh in case of special category States except Jammu and Kashmir).
\n[Note – Any 5 points may be mentioned]<\/p>\n

\"Registration<\/p>\n

Question 3.
\nMr. Allan, a non-resident person, wishes to provide taxable supply of goods. He has no fixed place of business or residence in India. He seeks your advise on the following aspects, relating to CGST Act, 2017 :
\n(i) When shall he apply for registration?
\n(ii) Is PAN mandatory for his registration?
\n(iii) What is the period of validity of RC granted to him?
\n(iv) Will he be able to extend the validity of his registration? If yes, what will be the period of extension? (Nov 2018, 5 marks)
\nAnswer:
\n(i) Mr. Allan, being a non-resident person, should apply for registration, irrespective of the threshold limit, at least 5 days prior to the commencement of business.<\/p>\n

(ii) No, PAN is not mandatory for his registration.<\/p>\n

He has to submit a self-attested copy of his valid passport along with the application signed by his authorized signatory who is an Indian Resident having valid PAN.<\/p>\n

However, in case of a business entity incorporated or established outside India, the application for registration shall be submitted along with its tax identification number or unique number on the basis of which the entity is identified by the Government of that country or its PAN, if available.<\/p>\n

(iii) Registration Certificate granted to Mr. Allan wilt be valid for:
\n(a) Period specified in the registration application, or
\n(b) 90 days from the effective date of registration whichever is earlier.<\/p>\n

(iv) Yes, Mr. Allan can get the validity of his registration extended. Registration can be extended further by a period not exceeding 90 days.<\/p>\n

\"Registration<\/p>\n

Question 4.
\nAnswer the following questions with respect to casual taxable person under the CGST Act, 2017:
\n(i) Who is a casual taxable person?
\n(ii) Can a casual taxable person opt for the composition scheme?
\n(iii) When is the casual taxable person liable to get registered?
\n(iv) What is the validity period of the registration certificate issued to a *\u2022 casual taxable person?
\n(v) Can the validity of registration certificate issued to a casual taxable person be extended? If yes, what will be the period of extension? (May 2019, 5 marks)
\nAnswer:
\n(i) Casualtaxable person means a person who occasionally undertakes transactions involving supply of goods and\/or services in the course or furtherance of business, whether as principal, agent or in any other capacity, in a State\/UT where he has no fixed place of business.<\/p>\n

(ii) No, a casual taxable person cannot opt for the composition scheme.<\/p>\n

(iii) A casual taxable person (GTP) is liable to obtain registration compulsorily under GST laws, at least 5 days prior to commencement of business. However, threshold limit of \u20b9 20 lakhs (\u20b9 10 lakhs in case of Special Category States other than Jammu & Kashmir) is available in case of CTP making taxable supplies of specified handicraft goods.<\/p>\n

(iv) The registration certificate issued to a casual taxable person will be valid for:
\n(a) the period specified in the registration application, or
\n(b) 90 days from the effective date of registration whichever is earlier.<\/p>\n

(v) Yes, the validity of registration certificate issued to a casual taxable person can be extended.
\nIt can be extended by a further period not exceeding 90 days.<\/p>\n

\"Registration<\/p>\n

Question 5.
\nUnder the provision of section 29(1) of CGST Act, 2017 read with rule 21A of CGST Rules, 2017 related to suspension of registration if the registered person has applied for cancellation of registration, what is the period and manner of suspension of registration? (Jan 2021, 5 marks)<\/p>\n

Question 6.
\nExplain the circumstances under which proper officer can cancel the registration on his own of a registered person under CGST Act, 2017. (Jan 2021, 5 marks)<\/p>\n

Question 7.
\nDetermine the effective date of registration in the following instances:
\n(i) The aggregate turnover of Madhu Ltd..engaged in taxable supply of services in the state of Punjab, exceeded \u20b9 20 Lakhs on 25th<\/sup> August, 2020. It applies for registration on 19th<\/sup> September, 2020 and is granted registration certificate on 29th September, 2020.
\n(ii) What will be your answer, if in the above scenario, Madhu Ltd. submits the application for registration on 27th<\/sup> September, 2020 and is granted registration on 5th<\/sup> October, 2020? (May 2018, 4 marks)
\nAnswer:
\n(i) The registration shall be effective from the date on which the person becomes liable to registration provided that the application for registration is submitted within 30 days from such date. In the given case, since Madhu Ltd. applies for registration on 19th<\/sup> September 2020, within 30 days from 25th<\/sup> August 2020, Hence the effective date of registration will be 25th August 2020. It is irrelevant when the registration certificate is granted.<\/p>\n

(ii) If in the case above, instead of 19th<\/sup> September if he applies on 27th<\/sup> September i.e. after the expiry of 30 days from the date of his becoming liable for registration the date of effective registration will be the date of grant of registration i.e. 5th<\/sup> October 2020.<\/p>\n

\"Registration<\/p>\n

Question 8.
\nState with brief reason, whether following suppliers of taxable goods are required to register under the GST Law:.
\n(i) Mr. Raghav is engaged in wholesale cum retail trading of medicines in the State of Assam. His aggregate turnover during the financial year is \u20b9 9,00,000 which consists of \u20b9 8,00,000 as Intra-State supply and \u20b9 1,00,000 as Inter-State supply.
\n(ii) Mr. S.N Gupta of Rajasthan is engaged in trading of taxable goods on his own account and also acting as an agent of Mr. Rishi of Delhi. His turnover in the financial year 2019-20 is of \u20b9 12 lakhs on his own account and \u20b9 9 lakhs on behalf of principal. Both turnovers are Intra- State supply. (May 2019, 4 marks)
\nAnswer:
\n(i) Person making any inter-State taxable supply of goods is required to obtain registration compulsorily under GST laws irrespective of the quantum of aggregate turnover.<\/p>\n

Thus, in the given case Mr. Raghav is required to obtain registration compulsorily under GST laws even though his aggregate turnover does not exceed the threshold limit of ? 10 lakhs [since Assam is a Special Category State] in the financial year.<\/p>\n

(ii) Persons who make taxable supply of goods on behalf of other taxable persons whether as an agent or otherwise are required to obtain registration compulsorily under GST laws irrespective of the quantum of aggregate turnover. Aggregate turnover includes all supplies made by the taxable person, whether on his own account or made on behalf of all his principals. Since Mr. S.N Gupta is also acting as an agent of Mr. Rishi of Delhi, he is required to obtain registration compulsorily under GST laws.<\/p>\n

\"Registration<\/p>\n

Question 9.
\nExplain the registration requirements under GST law in the following independent cases:
\n(i) Mr. Ahmad of Jammu engaged in the business of supplying tobacco based Pan Masala with an aggregate turnover of \u20b9 24 lacs.
\n(ii) Mr. Lepcha of Mizoram is engaged in the supply of papers with an aggregate turnover of \u20b9 13 lacs.
\nWill your answer be different if Mr. Lepcha is located in Meghalaya? (Nov 2019, 5 marks)
\nAnswer:
\n(i) Mr. Ahmad of Jammu is exclusively engaged in supply of tobacco based pan masala, he will not be eligible for higher threshold limit of \u20b9 40 lakhs and the applicable threshold limit for registration in that given case will be \u20b9 20 lakhs. Thus, in the given case, Since Mr. Ahmad aggregate turnover of tobacco based pan masala is \u20b9 24 Lacs, he will be liable to get registered under GST.<\/p>\n

(ii) The enhanced threshold limit of \u20b9 40 lakh as applicable to a person engaged exclusively in intra-State supply of goods, is not applicable to Mizoram (a specified Special Category State). Instead, a lower threshold limit of \u20b9 10 lakh for registration is applicable for Mizoram. Thus, in the given case, Mr. Lepcha of Mizoram is liable to register since his aggregate turnover 13 lakh) exceeds the applicable threshold limit for registration of \u20b9 10 lakh.<\/p>\n

The enhanced threshold limit of \u20b9 40 lakh is also specifically not applicable in the State of Meghalaya. Instead, the normal threshold limit of \u20b9 20 lakh for registration is applicable to it.<\/p>\n

Therefore, if Mr. Lepcha is located in Meghalaya, he is not liable to register since his aggregate turnover (\u20b9 30 lakh) does not exceed the applicable threshold limit for registration of \u20b9 20 lakh.<\/p>\n

\"Registration<\/p>\n

Question 10.
\nExplain in brief the conditions to be fulfilled by a registered person under GST law for availing the option to pay concessional tax @ 3% (effective rate 6%) under GST as per the provisions of notification number 2\/2019 CT(R) dt. 7-3-2019 as amended, with effect from 1st<\/sup> April, 2019. (Nov 2019, 5 marks)
\nAnswer:
\nThe conditions for availing the concessional rate of tax under Notification No. 2\/2019 CT (R) are primarily same as the conditions for availing the composition scheme with few exceptions. The same have been elaborated as under:
\n1. Supplies are made by a registered person who is:<\/p>\n