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CMA Final · Indirect Tax Laws and Practice · Accounts and Records

Kaveri Traders has its principal place of business in Pune and an additional place of business in Nashik, both shown in its certificate of registration. As per section 35 of the CGST Act, 2017, where must the accounts relating to the Nashik place of business be kept?

The Nashik accounts must be kept at the Nashik place of business. Where the registration certificate specifies more than one place of business, the accounts of each place are to be kept at that place, rather than all at the principal place.

  1. AAt the Pune principal place of business only
  2. BAt the Nashik place of businessCorrect
  3. CAt the premises of the proprietor's chartered accountant
  4. DAt any one place chosen by the proper officer

Explanation

The first proviso to section 35(1) says that where more than one place of business is specified in the certificate of registration, accounts relating to each place of business shall be kept at such places of business. So Nashik accounts stay in Nashik. Keeping all at Pune would be correct only for a single place of business.

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