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CA Intermediate · Taxation · Charge of GST

Sharma Traders, Jaipur, a registered regular dealer, supplies goods to a customer in Jaipur (same State) for a taxable value of Rs 2,00,000. The goods attract GST at 18% (CGST 9% and SGST 9%). What is the amount of CGST payable on this supply?

CGST payable is Rs 18,000. The supply is intra-State, so the 18% rate splits into 9% CGST and 9% SGST, and 9% of Rs 2,00,000 is Rs 18,000. Rs 36,000 is the combined GST, not CGST alone.

  1. ARs 36,000
  2. BRs 18,000Correct
  3. CRs 9,000
  4. DRs 3,60,000

Explanation

Intra-State supply attracts CGST and SGST, each at half of the 18% rate. CGST = 9% x 2,00,000 = Rs 18,000, and SGST is also Rs 18,000. Rs 36,000 is the total GST, wrongly treated as CGST alone.

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