MCQ

Q.1 Answer :- (b) not avail ITC on the said tax component
In which of the following situations, taxpayer needs
Chap. 8 Input Tax Credit 8.1

to reverse the credit already taken Q.6

(a) If payment is not made to the supplier within 45 days Which of the following inward supplies are not
from the date of invoice eligible for ITC in case of a company manufacturing
(b) If payment is not made to the supplier within 90 days shoes?
from the date of invoice (a) Food and beverages
(c) If payment is not made to the supplier within 180 days (b) Outdoor catering
from the date of invoice
(c) Health services
(d) None of the above
(d) All of the above
Answer :- (c) If payment is not made to the supplier
Answer :- (d) All of the above
within 180 days from the date of invoice

Q.7
Q.2
If there is a mis match of supplier’s outward supply
If the goods are received in lots/installment, _____
and recipient’s claim for ITC on the same transaction
(a) 50% ITC can be taken on receipt of 1st installment (tax paid is claimed to be more by the recipient than
and balance 50% on receipt of last installment. the tax shown as payable in the invoice of the
(b) ITC can be availed upon receipt of last installment. supplier)-
(c) 100% ITC can be taken on receipt of 1st installment (a) The disputed amount shall be added as output tax
(d) Proportionate ITC can be availed on receipt of each liability in the return of the recipient
lot/installment. (b) The disputed amount shall be reduced from the ITC of
Answer :- (d) ITC can be availed upon receipt of last the recipient
installment. (c) The disputed amount shall be increased in the
outward supply of the supplier
Q.4 (d) A demand notice will be issued on the recipient for the
disputed amount
For banking companies using inputs and input
services partly for taxable supplies and partly for Answer :- (a) The disputed amount shall be added as
exempt supplies, which of the statement is true? output tax liability in the return of the recipient
(a) ITC shall be compulsorily restricted to credit
attributable to taxable supplies including zero rated Q.8
supplies Which of the following statement is true for a
(b) 50% of eligible ITC on inputs, capital goods, and input composition tax payer?
service shall be mandatorily taken in a month and the (a) A composition tax payer can avail only 50% of ITC on
rest shall lapse. capital goods
(c) Banking company can choose to exercise either (b) A composition tax payer can avail 100% ITC on
option (a) or option (b) inputs.
(d) None of the above (c) ITC is not available on inward supplies made by a
Answer :- (c) Banking company can choose to exercise composition tax payer.
either option (a) or option (b) (d) Composition tax will be available as ITC to the
recipient only if the tax is mentioned separately in the
Q.5 invoice raised by the composition tax payer.
A supplier takes deduction of depreciation on the Answer :- (c) ITC is not available on inward supplies
GST component of the cost of capital goods as per made by a composition tax payer.
income tax Act, 1961. The supplier can-
(a) avail only 50% of the said tax component as ITC Q 9. Is it mandatory to capitalize the capital goods in
(b) not avail ITC on the said tax component books of Accounts?
(c) avail 100% ITC of the said tax component (a) Yes
(d) avail only 25% of the said tax component as ITC (b) No

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 (c) Optional (d) None of the above
(d) None of the above Answer:- (c) Input tax credit is eligible if depreciation on
Answer :- (a) Yes tax component is not availed

Q10. Under section 16(2) of CGST Act how many Q 16. Proportionate credit for capital goods is allowed
conditions are to be fulfilled for the entitlement of (a) for business and non-business purpose
credit? (b) for business or non- business purpose
(a) All the conditions (c) both of the above
(b) Any two conditions (d) none of the above
(c) Conditions not specified Answer:- (a) for business and non-business purpose
(d) None of the above
Q 17. Is Input tax fully restricted in case of switchover
Answer:- (a) All the conditions from taxable to exempt supplies?
(a) Yes
Q 11. Input tax credit on capital goods and Inputs can (b) No
be availed in one installment or in multiple (c) Proportionately restricted
installments? (d) Not restricted
(a) In thirty six installments Answer :- (a) Yes
(b) In twelve installments
(c) In one installment Q. 18. A supplier takes deduction of depreciation on
(d) In six installments the GST component of the cost of capital goods as
Answer :- (c) In one installment per Income- tax Act, 1961. The supplier can-
(a) avail only 50% of the said tax component as ITC
Q12.The time limit to pay the value of supply with (b) not avail ITC on the said tax component
taxes to avail the input tax credit? (c) avail 100% ITC of the said tax component
(a) Three months (d) avail only 25% of the said tax component as ITC
(b) Six Months Answer:- (b) not avail ITC on the said tax component
(c) One hundred and eighty days
(d) Till the date of filing of Annual Return Q. 19. Input tax credit shall not be available in respect
Answer:- (c) One hundred and eighty days of:
(a) Goods used for personal consumption
Q 14. Can the recipient avail the Input tax credit for the (b) Membership of a club
part payment of the amount to the supplier within one (c) Travel benefits extended to employees on vacation
hundred and eighty days? such as leave or home travel concession
(a) Yes on full tax amount and partly value amount (d) All of the Above
(b) No he can't until full amount is paid to supplier Answer:- (d) All of the Above
(c) Yes but proportionately to the extent of value and tax
paid
(d) Not applicable is eligible to claim refund in respect of
exports of goods
Answer :- (c) Yes but proportionately to the extent of
value and tax paid

Q 15. Whether depreciation on tax component of

capital goods and Plant and Machinery and whether
input tax credit is Permissible?
(a) Yes
(b) No
(c) Input tax credit is eligible if depreciation on tax
component is not availed

1 1 173
 Section16:-
8. Can the taxable person under Composition
1. Whether definition of Inputs includes capital Scheme claim input tax credit
goods. a. Yes
a. Yes b. No
b. No c. Only in some cases
c. Certain capital goods only d. Can’t say
d. None of the above Ans:-
Ans:-

2. Is it mandatory to capitalize the capital goods in 9. Mr. A, non-resident taxable person bought goods
books of Accounts? from USA for the trade fair to be organized in
Pune. At the customs, he paid IGST. Will he get
a. Yes
the credit of the IGST paid?
b. No
a. Yes
c. Optional
b. No
d. None of the above
c. Maybe
Ans:-
d. Yes, with permission of Customs
Ans:-
3. Whether credit on inputs should be availed based
on receipt of documents or receipt of goods
a. Receipt of goods
b. Receipt of Documents 10. Whether credit on capital goods can be taken
c. Both a and b immediately on receipt of the goods?
d. Either receipt of documents or Receipt of goods a. Yes
Ans:- b. No
c. After usage of such capital asset
d. The time when asset is capitalized in books
4. Whether the recipient can claim ITC on the basis of
revised invoices. Ans:-
a) Yes
b) No 11. ITC avoids the ______________
Ans:- a. Cascading effect
b. Compliance burden
5. Whether Input tax credit on Inputs and Capital c. Working capital usage
Goods is allowed in one installment? d. Difficulty in operating business
a. Yes Ans:-
b. No
c. Maybe
d. None of the above 12. Which of the following are covered in the
Ans:- definition of input tax?
i. Tax paid under RCM
6. Input tax credit is available only when the purchase ii. IGST on imports
made is used in ____________ iii. Taxes on composition levy
a. The course or furtherance of business iv. CGST
b. Other than business expenses Mark the correct option:
c. Both (a) and (b) a. (i) & (ii)
d. None of the above b. (i), (ii) & (iv)
Ans:- c. (i), (ii) & (iii)
d. All of the above
7. What are the prior conditions to claim input tax Ans:-
credit?
a) Tax invoice or debit note should be available
b) The person should have received the
goods/services
c) Tax charged on the purchases has been
deposited/paid to the government by the supplier
d) All of the above
Ans:-

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13. If the person makes export supplies or supplies to (d) Proportionate ITC can be availed on receipt of each
SEZ, will he be eligible to avail the ITC? lot/installment.
a. Yes, if he supplies under Bond / LUT Ans:-
b. Yes, if he doesn’t supply under Bond / LUT
c. Yes, he can avail ITC in any situation
d. None of the above 19. Mr. A placed an order with Mr. B in April 2018. He
Ans:- has received the invoice and both of them has
duly filed the return along with the necessary tax
payment. But the goods were received in May
14.ITC is eligible only when it is--------- ---------- 2018. When can Mr. A claim the credit?
a) Credited to the electronic cash ledger a. April 2018
b) Credited to the electronic credit ledger b. May 2018
c) Booked in the books of account c. September 2018
d) All of the above d. Either (a) or (b)
Ans:- Ans:-

20. Which of the following statement is correct?

15. The input tax credit on purchase invoice dated a) If purchaser fails to pay value along with tax amount
2nd May 2017 was omitted to be taken. The to supplier within 180 days, then the ITC amount
accountant realized this mistake on 1st along with interest should be added to his output tax
November 2018. Can he now claim the credit?
liability.
a. Yes
b) If purchaser fails to pay value along with tax amount
b. No
to supplier within 180 days, then the ITC amount
c. Yes, with permission of Jurisdictional officer
along with interest should be reversed from the
d. Maybe
electronic ledger.
Ans:-
c) If purchaser fails to pay taxable value to supplier
within 180 days, then the ITC amount should be
16. Comment: Supply of goods can be spread over a added to his output tax liability.
period of time, It is not necessary that all d) If purchaser fails to pay the tax amount to supplier
elements should be supplied at the same time within 180 days, then the ITC amount should be
a. Correct added to his output tax liability.
b. Incorrect Ans:-
c. Partially correct
d. None of the above
Ans:- 21. In which of the following situations, taxpayer
needs to reverse the credit already taken?
(a) If payment is not made to the supplier within 45
days from the date of invoice
17. Mr. A placed an order with Mr. B of 20,000 pcs on (b) If payment is not made to the supplier within 90
1st January 2017 and the same order is to be days from the date of invoice
received on last day of every month i.e. 2,000 pcs (c) If payment is not made to the supplier within 180
per month shall be received in next 10 months. days from the date of invoice
When can Mr. A can avail ITC? (d) None of the above
a. 28th February, 2017 Ans:-
b. 31st October, 2017
c. 31st March, 2017
d. Proportionately with receipt of every instalment 22. In case supplier has deposited the taxes but the
Ans:- receiver has not received the documents, is
receiver entitled to avail credit?
18. If the goods are received in lots/installment, -------- a. Yes, it will be auto populated in recipient monthly
---------------------- returns
(a) 50% ITC can be taken on receipt of 1st installment b. No as one of the conditions of 16(2) is not fulfilled
and balance 50% on receipt of last installment. c. Yes, if the receiver can prove later that documents
(b) ITC can be availed upon receipt of last installment. are received subsequently
(c) 100% ITC can be taken on receipt of 1st d. None of the above
installment. Ans:-

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 23. Mr. A purchased goods from Mr. B on 1st May, 2018 28. What should be the treatment of tax element in a
and fulfilled all the conditions for availing the capital asset?
ITC. He availed the credit in the May Month i.e. in a. Capitalize the tax element and claim depreciation
its GSTR – 3B which was filed on 15th June, b. Claim the ITC at first instance
2018. He made the payment to Mr. B on 31st c. Either (a) or (b)
December, 2018. Answer the following d. Both (a) and (b)
questions. Ans:-
Can recipient claim the credit even if he has
not made the payment to supplier within 180
days?
a. Yes 29. A person has a single GST registration in respect
b. No of two different trade names. Can he set off input
c. Irrelevant question tax credit from one trade name against the
output tax liability of the other?
d. None of the above
a. Yes
Ans:-
b. No
c. Maybe
24. In question 23, at what interest rate Mr. A need to d. None of the above
repay the credit wrongly availed? Ans:-
a. 18% p.m.
b. 12% p.m. 30. In which of the following conditions the input tax
c. 18% p.a. credit will be available?
d. 24% p.a. (a) Capital goods used for making exempted goods
Ans:- (b) Capital goods used for exclusively non-business
(personal) purpose
(c) Depreciation has been claimed on tax component
of capital goods
25. In question 23, after making the payment on 31st (d) None of the above
December 2018, can Mr. A reclaim input tax Ans:-
credit?
a. Yes
b. No
c. Maybe Section17:-
d. Not allowed
Ans:- 31. Input tax credit is not available in respect of
_______.
(a) services on which tax has been paid under
26. In question 23, is there any time limit for re- composition levy
availing the credit? (b) free samples
a. One month (c) goods used for personal consumption
b. One year (d) all of the above
c. 180 days Ans:-
d. No time limit
Ans:-
32. Which of the following Input Tax credit (ITC) is not
27. Can the recipient avail the Input tax credit for the available to the tax payer:-
part payment of the amount to the supplier (a) ITC on Goods purchased for resale
within one hundred and eighty days? (b) ITC on Goods used for providing taxable services
a. Yes, on full tax amount and partly value amount (c) ITC on Goods used in making supplies out of India
b. No, he can’t until full amount is paid to supplier (d) ITC on purchase of Motor vehicle for use by
c. Yes, but proportionately to the extent of value and director
tax paid Ans:-
d. Not applicable is eligible to claim refund in respect
of exports of goods le
Ans:-

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33. ITC of motor vehicles used for 38. GST Authorities raised Mr. A’s place of business
_________________ is allowed. and found that tax has been evaded. The
(a) Transportation of goods proceedings under section 73 were started and
(b) Transportation of passengers Mr. A was made liable to pay a tax of Rs. 2 crore
(c) Imparting training on driving along with the interest and penalty. For which of
(d) All of the above the following amounts Mr. A can claim ITC?
Ans:- [Note: Assume that it satisfies sec a. Rs. 2 crore
17(5)(a)&(aa) ] b. Rs. 2 crore and interest paid separately
c. Rs. 2 crore, interest and penalty paid separately
d. No ITC shall be allowed
34. ITC on motor vehicles on its leasing, renting or Ans:-
hire is not allowed except ________________
39. Mr. A purchased goods from Mr. B a composition
a. When used for making outward supply of dealer worth Rs.2,00,000. Since Mr. B was trader
category of goods or services as specified in so he was supposed to pay only 1% of his
clause (a) or (aa) of sec 17(5). turnover as his tax. The item so purchased was
b. When used for making outward supply of different otherwise taxable at 12%. What is the amount of
category of goods or services credit which Mr. A is eligible to take?
c. When making outward sale of such motor vehicles a. Rs. 2,000
d. None of the above b. Rs. 24,000
Ans:- c. Rs. 1,000
d. Not eligible to claim credit
35. ITC is blocked in case of construction, repairs, ----- Ans:-
---, ----------, ------------ except plant & machinery ---
-- 40. ABC Pvt. Ltd. is engaged in making Chocolates.
a) Renovation, alteration, re-construction of The company on Diwali, distributed the same
immovable property, on own account chocolates to its employees. Can the company
b) Renovation, maintenance, re-construction of claim ITC in respect to the inputs used in making
immovable property, on others account such gifts?
c) Renovation, alteration, re-construction of a. Yes
immovable property, on his principals account b. No
d) Re-construction, alteration, re-construction of c. Maybe
immovable property, on his own account d. Company’s discretion
Ans: - Ans:-

36. Mr. A, a practicing Chartered Accountant 41. ITC shall be allowed in which of the following
purchased 3 laptops each having tax elements of options
Rs.40,000 in his firm name. two laptops he I. Excavators
utilized in his office whereas one laptop he gifted ii. Road rollers
to his sister. What is the amount of ineligible iii. Tippers
ITC? iv. Dumpers
a. Rs.40,000 Tick the correct option.
b. Rs.50,000 a. (i) & (ii)
c. Rs.75,000 b. (iii) & (iv)
d. Rs. 80,000 c. (i), (ii) & (iii)
Ans:- d. (i), (ii), (iii) & (iv)
Ans:-
37. In which of the following cases, input tax credit is
not allowed? 42. ITC in respect to pipelines laid outside the factory
(a) Packing material used in a factory & towers fixed to earth by foundation or
(b) Goods used for providing services during warranty structural support including foundation &
structural support are --------------- for the ITC.
period
a) Eligible
(c) Inputs used for quality control check
b) Not eligible
(d) Confectionery items for consumption of
c) Eligible, with permission of Jurisdictional officer
employees working in the factory
d) None of the above
Ans:-
Ans:-

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 Value of architect services supplied: `2,00,000
43. Situations: (iii) Securities of face value of ` 1,00,000 sold for
i. Health insurance of factory employees [Not ` 95,000
obligatory under any Law] (a) ` 1,50,000
ii. Composite service used for installation of (b) ` 2,50,000
plant and machinery (c) ` 2,45,000
iii. Purchase of car used by director for the (d) ` 1,50,950
business meetings only Ans:- [Hint: Value of securities to be taken as 1% of sale
Comment on the eligibility of the credit in below value of such securities]
mentioned cases.
a. Not eligible, eligible, not eligible 48. “Credit of ITC may be availed for making zero
b. Not eligible, not eligible, not eligible rated supplies, even if such supply is an
c. Eligible, not eligible and not eligible exempted supply.” – Comment
d. Eligible, eligible and not eligible a. Correct
Ans:- b. Incorrect
c. Partially correct
44. Inputs are procured by Mr. A for his business and d. None of the above
the same are being utilized in manufacturing of
Ans:-
exempted as well as taxable goods. What should
be follow? 49. Krishna Motors is a car dealer selling cars of an
a. Full ITC to be claimed international car company. It also provides
b. Proportionate ITC to be claimed maintenance and repair services of the cars sold
c. Rule 42 should be applied by it as also of other cars. Determine the amount
d. Rule 43 should be applied of input tax credit available with the help of the
Ans:- following information regarding expenses
incurred by it & taxes paid during the course of
45. Mr. Z trades in certain items which are exempt and its business operations:
supplies certain items to SEZ which are zero- Taxes paid on cars purchased from the 20,00,000
rated. He wants to understand which of the manufacturer for making further supply of such cars
following will be included in computation of [Two of such cars are destroyed in accidents while
taxable supplies for purpose of availing input tax being used for test drive by potential customers.
credit? GST paid on their purchase is ` 1,00,000 ]
a. Zero-rated supplies
Works contract services availed for constructing 50,000
b. Exempt supplies a car shed in its premises. GST paid on such
c. Both i.e., Zero-rated and exempt supplies expenses
d. None of the above
Ans:- (a) ` 19,00,000
(b) ` 21,10,000
(c) ` 19,50,000
46. Mr. Jolly, lawyer is registered in Delhi. He has (d) ` 20,50,000
income of Rs. 32,00,000 from legal services. Ans:- [Note:- As per sec 17(5) ITC on works contract is
Also, he has given a commercial land on rent for blocked ]
which he is charging Rs. 5,00,000 per month. He
has also extended loan of Rs. 1 crore for which 50. Determine the cases in which ITC will be available
he received interest amounting to Rs. 12,00,000 amongst the following
annually. What will be the value of exempt supply (i) A software professional providing technical
for the purpose of reversal of input tax credit consultancy buys a motorcycle for use of his
under rule 42? employee.
(a) Rs. 44,00,000 (ii) A motor driving school buys a car for being used in
(b) Rs. 12,00,000 imparting motor driving training.
(c) Rs. 32,00,000 (iii) A flying school imports an aircraft for use in its
(d) Rs. 60,00,000 training activity.
Ans:- [Note: Value of exempt supply computed as per (iv) A manufacturer buys a small truck for the purpose
explanation given in the rules ] of transporting its inputs and finished goods.
Input tax credit cannot be taken on:
(a) (iii)
47 Compute the value of 'exempted supply' for (b) (i), (ii), (iii), (iv)
purpose of section 17(2) of the CGST Act, 2017 (c) (i)
from the following details: (i) Value of alcoholic (d) (i), (iii)
liquor for human consumption: ` 1,50,000 (ii) Ans:-

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51. Kamlesh hires a works contractor for repairing his
55 Calculate the amount of eligible ITC?
factory building on a lumpsum payment of `
11,80,000. He debits half of the expenditure in Particulars Amount(`)
the profit and loss account and the remaining
Purchase of mobile phones for employees 20,000
half in the building account. Assuming the rate to be used for business purposes
of GST to be 18%, Kamlesh can take input tax Taxes paid on telephone expenses
credit of: 5,000
(a) ` 90,000 Taxes paid on security services availed 18,000
(b) ` 1,06,200 by registered person for his factory
(c) ` 2,12,400 Motor vehicle purchased for 1,50,000
(d) Nil employees to be used for personal
Ans:-[Hint: Credit to the extent of capitalized as well as business purposes
amount is disallowed as per sec 17(5)(d)] Motor vehicle purchased for transportation
of goods within the factory of 2,00,000
registered person
52. Input tax Credit is available on all supplies which
are used or intended to be used in the course or Taxes paid on food expenses incurred 2,000
furtherance of business. Input tax credit will be by registered person for his employees
available under which of the following Rent-a-cab facility given to employees
as it is obligatory for the employer to 36,000
situations?
(a) GST paid on motor vehicle used in the course and provide it under an applicable law
The service has been notified by the
furtherance of business. Government.
(b) GST paid on club membership fees.
(c) GST paid on goods or services or both used for Taxes paid on purchase of cement and
personnel consumption. other material for renovation of the 16,000
(d) IGST @18% paid on inputs purchased from a office room (not capitalised)
vendor in Bangalore where the supplier is
registered in Rajasthan. (a) Rs. 2,95,000
Ans:- . (b) Rs. 4,47,000
(c) Rs. 2,43,000
(d) Rs. 2,59,000
53. For banking companies using inputs and input Ans:-
services partly for taxable supplies and partly for
exempt supplies, which of the statement is true? Section18:-
(a) ITC shall be compulsorily restricted to credit
attributable to taxable supplies including zero 56. True or false – “In case of switching from taxable
rated supplies to exempt transactions or from Regular to
(b) 50% of eligible ITC on inputs, capital goods, and composition scheme, ITC is fully restricted.”
input service shall be mandatorily taken in a month a. Correct
and the rest shall lapse. b. Incorrect
(c) Banking company can choose to exercise either c. Partially correct
option (a) or option (b) d. None of the above
(d) None of the above Ans:-
Ans:-
57. An assessee obtains new registration. It can avail
credit on inputs lying in stock. What is the time
54. Bank on 1st April 2018 has a credit of ` 1,50,000. It limit for the taking said credit?
during the month of April supplied certain a. 1 year from the date of invoice
exempted services & some taxable services. b. 3 years from the date of registration
What is the eligible amount of credit? c. 1 years from the date of registration
a) ` 150,000 d. None of the above
b) ` 75,000 Ans:-
c) ` 100,000
d) None of the above
Ans:- [Hint: Refer sec 17(4) of CGST Act]

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 58. An assessee obtains new registration, voluntary 62. In case of supply of plant & machinery on which
registration, change of scheme from ITC is taken, tax to be paid on is
composition to regular scheme and from a. Amount equal to ITC availed less 5% for every
exempted goods/ services to taxable quarter or part thereof
goods/services. It can avail credit on inputs lying b. Tax on transaction value
in stock. What is the time limit for taking said c. Higher of above two
credit? d. Lower of above two
(a) 1 year from the date of invoice Ans:-
(b) 3 years from the date of invoice
(c) years from the date of invoice
(d) None of the above 63. Is Input tax to be paid in case of switchover from
Ans. taxable to exempt supplies
(a) Yes, equivalent to the credit in respect of inputs
held in stock (including semi-finished and
59. Can the unutilized input tax credit be transferred finished goods) and on capital goods held in stock
in case of change in constitution of business? (b) No
a. Not possible (c) Yes, full credit
b. No, it will be exhausted (d) No, should be debited to electronic credit ledger
c. Yes, it will be transferred only if there is provision Ans.
for transfer of liabilities
d. It will be transferred only if it is shown in books of 64. Is Input tax to be reversed in case of supply of
Account of transferor capital goods
Ans:- (a) Yes fully
(b) No
(c) Yes, to extent of credit taken as reduced by
60. In case of Compulsory registration, input tax prescribed percentage or tax on transaction
credit can be availed on value whichever is higher
a. stocks held on the day immediately preceding the (d) Yes, to the extent of transaction value of such
date from which he becomes liable to pay tax goods
under theprovisions of this Act, provided Ans.
application for registration is filed within 30 days
from the due date
65. What will happen to the rest of credit carried
b. stocks held on the day immediately preceding the forward in respect of a regular dealer switching
date of grant of registration under the provisions over to composition stream under GST, after
of this Act. adjusting to the inputs held in stock?
c. stocks held on the day immediately preceding the a) Carry forward the rest of the credit
date of application of registration under the b) Credit kept in abeyance till the taxable opts for
provisions of this Act. normal scheme once again
d. None of the above c) Credit lapses
Ans:- d) Electronic credit ledger will freeze with the credit
available
61. In case of Voluntary registration input tax credit Ans:-
can be availed
(a) on stocks held on the day immediately preceding 66. Mr. Natwarlal, a registered person under GST, was
the date from which he becomes liable to pay tax the proprietor of M/s. Spiceton Restaurant.
under the provisions of this Act He died and left behind his wife and son on 15-
(b) on stocks held on the day immediately preceding Aug-2018.
the date of grant of registration under the His son wants to continue the business of the
provisions of this Act. deceased father.
(c) on stocks held on the day immediately preceding The GST consultant of M/s. Spiceton Restaurant,
the date of application of registration under the gave the following advices to the son, how the
provisions of this Act. son could continue the business of his deceased
(d) None of the above father.
Ans. Which of the following option is correct in
accordance with the provisions of GST law-

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 (a) The son should get himself registered under the Answer:-
name and style M/s. Spiceton Restaurant, under
his own PAN and file Form ITC-02.
1 b 31 d 61 b
(b) The son can get the authorized signatory
changed by approaching to the Proper Officer 2 a 32 d 62 c
and can continue the same business.
(c) The son should close the old firm and start new 3 c 33 d 63 a
business under different name.
(d) The son should do the business as his mother as 4 a 34 a 64 c
the new proprietor of the M/s. Spiceton
5 a 35 a 65 c
Restaurant, and son should act as a Manager.
Ans:- 6 a 36 a 66 a

7 d 37 d

8 b 38 d

9 a 39 d

10 a 40 b

11 a 41 b

12 b 42 b

13 c 43 a

14 b 44 c

15 b 45 a

16 a 46 c

17 b 47 d

18 b 48 a

19 b 49 a

20 a 50 c

21 c 51 a

22 b 52 d

23 b 53 c

24 d 54 b

25 a 55 a

26 d 56 a

27 c 57 a

28 c 58 a

29 a 59 c

30 d 60 a

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