CMA Intermediate · Direct and Indirect Taxation · Returns and Payment of Taxes
Anand Textiles filed its GST return self-assessing a tax liability of Rs 3,00,000 and also received a demand order for a further Rs 2,00,000 of tax not self-assessed. It applies for instalments under the CGST Act. For what amount can instalments be allowed?
Instalments can be allowed only for the Rs 2,00,000 demanded, because the provision excludes the amount due as per liability self-assessed in any return. The Rs 3,00,000 self-assessed in the return must be paid in the normal way, so the total Rs 5,00,000 cannot be spread over instalments.
- ARs 5,00,000 in total
- BRs 3,00,000 only
- CRs 2,00,000 only, the amount not self-assessed in the returnCorrect
- DNeither amount, as instalments are never allowed
Explanation
The instalment provision applies to any amount due other than the amount due as per liability self-assessed in any return. So the Rs 3,00,000 self-assessed is excluded and only the Rs 2,00,000 demand qualifies. Rs 5,00,000 wrongly includes the self-assessed amount.
Did you get it right without looking?
One question tells you little. A timed set on Returns and Payment of Taxes shows your real accuracy, how long you take and where you lose marks.
More Returns and Payment of Taxes questions
- A registered person discovers an omission in a return for a tax period of FY 2025-26, and the discovery is not due to scrutiny, audit or ins…
- Which statement about section 62 assessment of non-filers is correct under the CGST Act, 2017?
- A registered person fails to file the return under section 39 even after receiving a notice under section 46. Under section 62 of the CGST A…
- Under the CGST Act, 2017, which statement about credit of deposits and input tax credit to the ledgers is correct?
- Which statement about the procedure for obtaining instalments under the CGST Rules is correct?
- Mehta Traders, a regular registered person, has not furnished its GST return for May. It wants to furnish the return for June. Under Section…