CA Intermediate · Taxation · Charge of GST
Ravi Traders, Pune, a registered supplier, sold goods to Mehta Stores, Pune, for Rs 2,00,000 (excluding tax). The goods are taxable at 18% GST. Both parties are in Maharashtra. What is the total GST charged on this supply and under which heads?
GST is Rs 36,000 in total, split as Rs 18,000 CGST and Rs 18,000 SGST. The supply is intra-State, so the 18% rate is divided equally into 9% CGST and 9% SGST, each charged on the Rs 2,00,000 taxable value.
- ARs 36,000 as IGST
- BRs 18,000 CGST and Rs 18,000 SGSTCorrect
- CRs 36,000 as CGST and Rs 36,000 as SGST
- DRs 18,000 as CGST only
Explanation
This is an intra-State supply, so CGST and SGST apply, each at half the 18% rate, i.e. 9%. 9% of Rs 2,00,000 = Rs 18,000 each, total Rs 36,000. Charging IGST would be wrong because location of supplier and place of supply are in the same State.
Did you get it right without looking?
One question tells you little. A timed set on Charge of GST shows your real accuracy, how long you take and where you lose marks.
More Charge of GST questions
- Verma Foods (Lucknow, Uttar Pradesh), a registered supplier, has aggregate turnover below the limit and opts for the composition scheme as a…
- Anand Sweets (a registered person in Jaipur) supplies only taxable goods and has a rate of 5% on its sweets. Which statement about the levy …
- Under the CGST Act, 2017, which of the following is a correct statement about the levy of tax on a composition-scheme taxpayer who is a manu…
- Ramesh, a registered person in Jaipur, supplies goods to unregistered customers in Jaipur. His aggregate turnover in the preceding year was …
- Anand Ltd, Pune, a registered person, sold goods in a month at a taxable value of Rs 10,00,000 (rate 18%). It also received Rs 2,00,000 as i…
- Sundaram Traders, Chennai, a registered person, supplies goods to a buyer in Chennai (same State) for a taxable value of Rs 2,00,000. The go…