Taxation Fundamentals

What is the current TDS rate for professional fees?

• 10%

• 15%

• 20%

• 5%

Explain the step-by-step process for registering for GST.

• Visit GST portal -> Click on 'Existing Registration' -> Fill in details -> Verify mobile and email -> Submit application -> Receive ARN -> Await approval -> Receive GST registration certificate

• Visit GST portal -> Click on 'Check Eligibility' -> Fill in details -> Verify mobile and email -> Submit application -> Receive ARN -> Await approval -> Receive GST registration certificate

• Visit GST portal -> Click on 'New Registration' -> Fill in details -> Verify mobile and email -> Submit application -> Receive ARN -> Await approval -> Receive GST registration certificate

• Visit GST portal -> Click on 'Register Now' -> Fill in details -> Verify mobile and email -> Submit application -> Receive ARN -> Await approval -> Receive GST registration certificate

When does the Reverse Charge Mechanism apply in GST?

• When the transaction involves only goods and not services.

• When the tax rate is below a certain threshold.

• When the supplier is liable to pay the tax instead of the recipient.

• When the recipient is liable to pay the tax instead of the supplier.

What are the key rules for determining the Place of Supply in GST?

• Ignoring the nature of supply

• Analyzing the nature of supply (goods or services), location of supplier, location of recipient, and the place of supply provisions specified in the GST law.

• Considering only the location of the supplier

• Following international tax laws instead of GST regulations

Highlight the main differences between TDS and GST.

• TDS is a tax levied on goods, while GST is a tax deducted at the source

• TDS is applicable only to services, while GST is applicable only to goods

• TDS is collected by the state government, while GST is collected by the central government

• TDS is a tax deducted at the source of income, while GST is a value-added tax levied on the supply of goods and services.

What are the different types of GST returns that need to be filed?

• GSTR-2

• GSTR-1, GSTR-3B, GSTR-4, GSTR-9, GSTR-9C

• GSTR-7

• GSTR-5

What is the penalty for late filing of GST returns?

• Rs. 200 per day of delay

• Rs. 100 per day of delay

• Rs. 150 per day of delay

• Rs. 250 per day of delay

How does TDS impact cash flow for businesses?

• TDS reduces the immediate cash flow for businesses.

• TDS increases the immediate cash flow for businesses.

• TDS only impacts long-term cash flow for businesses.

• TDS has no impact on cash flow for businesses.

Discuss the concept of Input Tax Credit under GST.

• Input Tax Credit (ITC) under GST can only be claimed for services, not goods

• Input Tax Credit (ITC) under GST is not applicable to small businesses

• Input Tax Credit (ITC) under GST allows businesses to claim credit for the taxes paid on inputs used in the production of goods or services, which can be used to offset the tax liability on the output supply.

• Input Tax Credit (ITC) under GST is a one-time benefit and cannot be used for future tax liabilities

Explain the concept of e-way bills in the context of GST.

• E-way bills are electronic documents required for the movement of goods worth over Rs. 50,000 in value across state borders in India.

• E-way bills are physical documents required for the movement of goods within a state in India.

• E-way bills are only needed for goods worth over Rs. 10,000 in value.

• E-way bills are optional and not mandatory for any goods transportation.