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CA Intermediate · Taxation · Accounts and Records

Ishaan Logistics, a registered goods transport agency, has a place of business in Jaipur and another in Indore, both declared. It maintains its accounts electronically. Which statement is correct as per the CGST Act, 2017 and the Rules?

Registered persons may maintain accounts in electronic form, provided they are authenticated by a digital signature, and they must be kept at the declared places of business. Ishaan Logistics may therefore keep electronic accounts at both declared places.

  1. AElectronic records are not permitted; accounts must be only in handwritten form
  2. BAccounts may be kept in electronic form, authenticated by a digital signature, and must be kept at the declared placesCorrect
  3. CElectronic accounts need no authentication
  4. DElectronic accounts are valid only if kept at Jaipur alone

Explanation

Every registered person may maintain accounts in electronic form, subject to authentication by a digital signature, and keep them at the declared places of business. Handwritten-only is not required, and Indore being declared means the records can be kept there as well.

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