GST Solution | ICAI question paper ca inter nov 2020 by CS K K Agrawal

Download this booklet from telegram channel : "CAINTERKK" Question 5 8 KNK Ltd., a registered supplier of Mumbai is a manufacturer of heavy machines. Its outward supplies (exclusive of GST) for the month of January, 2020 are as follows : S.No Particulars Amount (₹) (i) Inter-state 85,00,000 (ii) Intra-state 15,00,000 Applicable rate of CGST, SGST and IGST on outward supply are 9%, 9% and 18% respectively. Details of GST paid on inward supplies during the month of January, 2020 are as follows: S.No Particulars CGST paid (₹) SGST paid (₹) (i) Raw materials A Rule 36(4): 110% of eligible credit (of which 70% of inputs procured were used and 30% were in stock at the end of the January, 2020) 60,000 60,000 (ii) Raw materials B S 17(5) (of which 90% material received in factory and remaining material completely damaged due to a road accident on the way to factory. There was no negligence on the part of the KNK Ltd.) 50,000 50,000 (iii) Construction of pipelines laid outside the factory premises. S 17(5) 30,000 30,000 (iv) Insurance charges paid for trucks used for transportation of goods. Available 55,000 55,000 Additional Information (i) There is no opening balance of any Input Tax Credit and all conditions necessary for availing the Input Tax Credit (ITC) have been fulfilled. (ii) Details of GST paid on inward supplies are available in GSTR-2A except for item (i) i.e, Raw Material A, for which supplier has not filed its GSTR-1 for the month of January 2020, hence corresponding Input Tax Credit (ITC) is not reflecting in GSTR-2A of KNK Lid. in January, 2020. Compute the following: (i) Amount of eligible Input Tax Credit (ITC) available for the month of January, 2020 (ii) Net minimum GST payable in Cash, for the month of January, 2020 after using available Input Tax Credit. Working notes should form part of your answer. ------------------------- Question 6 6,2,2 (a) Following are the particulars, relating to one of the machine sold by M/s SQM Ltd. to M/s. ACD Ltd. in the month of February 2020 at List price of ₹ 9,50,000. (Exclusive of taxes and discount) Further, following additional amounts have been charged from M/s ACD Ltd. S.No Particulars Amount (₹) (i) Municipal taxes chargeable on the machine part of value 45,000 (ii) Outward freight charges (Contract was to deliver machine at ACD Ltd.’s factory i.e. F.O.R. contract) part of value 65,000 Additional Information (i) M/s SQM Ltd. normally gives an interest free credit period of 30 days for payment, after that it charges interest 1% p.m. or part thereof on list price. ACD Ltd paid for the supply after 45 days but, M/s SQM Ltd waived the interest payable. not a part of value (ii) M/s SQM Ltd. received ₹ 50,000 as subsidy, from one non-government organisation (NGO) on sale of such machine. This subsidy was not linked to the price of machine and also not considered in list price of ₹ 9,50,000. not a part of value (iii) M/s ACD Ltd deducted discount of ₹ 15,000 at the time of final payment, which was not as per agreement. part of value but already included in list price (iv) M/s SQM Ltd collected ₹ 9,500 as TCS (Tax Collected at Source) under the provisions of the Income Tax Act, 1961. not a part of value Compute the taxable value of supply as per provision of GST laws, considering that the price is the sole consideration for the supply and both parties are unrelated to each other. Note: Correct legal provision should form part of your answer. (b) In the following independent cases, decide, which person is liable to pay GST, if any. You may assume that recipient in located in the taxable territory. Ignore the Aggregate Turnover and Exemption available (i) ‘Veer Transport’, a registered Goods Transport Agency (GTA) paying IGST @ 12%, transported goods by road of Dilip & Company, a sole proprietary firm (other than specified person) which is not registered under GST or any other Law. GTA is liable to pay tax (ii) Mr. Kamal Jain, an unregistered famous author, received 20 lakhs of consideration from POR Publications Ltd. for supply of services by way of temporary transfer of a copyright covered under section 13(1)(a) of the Copyright Act, 1957 relating to original literary works of his new book. Publisher is liable to pay tax