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CA Intermediate · Taxation · Accounts and Records

Sharma Traders, a registered dealer in Indore, files its returns regularly. Its owner asks where the books of account and related documents must be kept under the CGST Act, 2017. Which statement is correct?

A registered person must keep books of account and documents at the principal place of business and at every additional place of business mentioned in the registration certificate. Keeping them only at the principal place is insufficient when other registered places exist.

  1. AAt the principal place of business, and at every additional place of business shown in the registrationCorrect
  2. BOnly at the principal place of business, even if there are additional places
  3. CAt the residence of the proprietor, whichever place that is
  4. DAt the office of the jurisdictional tax officer

Explanation

Every registered person must keep accounts and records at the principal place of business and at each additional place of business mentioned in the registration. Keeping them only at the principal place is wrong when additional places are registered. The books are not kept with the tax officer, who may only inspect them.

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