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

Under the CGST Act, 2017, a registered person has obtained registration showing a principal place of business in Pune and an additional place of business in Nagpur. Where must the accounts relating to the Nagpur place of business be kept?

The accounts of the Nagpur place of business must be kept at Nagpur. The general rule places accounts at the principal place of business, but where several places of business are shown in the registration certificate, the accounts of each place are kept at that place.

  1. AOnly at the principal place of business in Pune
  2. BAt the Nagpur place of businessCorrect
  3. CAt the registered office of the person's jurisdictional tax officer
  4. DAt any place of business chosen by the person at the time of audit

Explanation

Section 35(1) requires accounts to be kept at the principal place of business. The first proviso says that where more than one place of business is specified in the registration certificate, the accounts of each place must be kept at that place. So the Nagpur accounts are kept in Nagpur, not only in Pune.

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