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GST Questions & Answers PDF | Latest Banking Awareness
Q.1. As per the announcement made by the government, the Goods & Services Tax (GST) implemented from ___________ as all states have agreed to the implementation date.
1st July 2017
Q. 2. After the implementation of GST rates from 1st July 2017, What is the new tax rate that is imposed on gold jewelry?
Q.3. What is the name of the app launched by the central government to allow consumers to verify accurate tax rate on commodity and services?
GST Rates Finder.
Q.4. Under which amendment of constitution Bill 2014, The Goods & Services Tax (GST) is defined?
Q.5. The Goods &Services Tax (GST) council was constituted on which date?
12th September 2016.
Q.6. The Cabinet ministry has approved __________ to setup GST system by Central Board for Excise and Customs.
Q.7. As per Goods & Services Tax (GST), how much percentage of Integrated-GST should be payable on all imports of precious metals in addition to the basic customs duty?
Q. 8) Under GST System, There are 3 types of taxes will be charged in all over India, What are they?
CGST – Central Goods and Service Tax,
SGST – State Goods and Service Tax &
IGST – Integrated Goods and Service Tax.
Q.9) How many countries have GST under implementation all over the world?
Q.10) What is the tax rate chargeable on various banking transactions under GST?
18% (previously it was 15%).
Q.11)What is the tax rate chargeable on essential commodities like salt, unpacked food grains, healthcare services?
Q.12) Which is the world’s first country that was implemented GST Tax regime?
France (in 1954).
Q.13) Which type of tax is GST – Direct (Or) Indirect?
Q.14) Who is the head of the GST Council in India?
Arun Jaitley (Union Finance Minister).
Q.15) How will GST be administered and collected in India?
GST will be administered by categorizing under two parts – Central GST (CGST) and State GST (SGST).
Q.16) India has chosen which country’s GST phenomenon?
Q.17) What are four bills related to GST got approval in parliament?
- Central GST Bill
- Integrated GST Bill
- Union Territory GST Bill
- Compensation Bill
Q.18) GST Rate will be categorized and calculated based on _______________
HSN code or Harmonized System Nomenclature code for Goods
SAC Code System ( Service Accounting Codes) for Services.
Q.19) When did GST bill was introduced in the Lok Sabha?
19th December 2014 (By the Union Finance Minister ‘Arun Jaitley’)
Q. 20) What is Revenue Neutral Rate (RNR)?
The rate of tax at which the revenue received by the government will remain same despite changes in tax laws.
Q.21) What are GSTN and its role in the implementation of GST law in India?
- GSTN means Goods and Services Tax Network, a non-profit organization managed by the center, states, and nongovernment financial organizations.
- GSTN has established on 28th March 2013 and one stop solution to make payments of all your indirect tax liabilities.
Q.22) Which country has the highest GST rate slab among 160 countries throughout the world?
2nd highest (27%) – Argentina.
Q. 23) What are the GST slab rates that will be imposed in India on different goods & services?
0% , 5%, 12%, 18%, and 28%
Q. 24) What IGST and its role in GST Regime?
IGST – Integrated GST, taxes will be collected by the central government on an interstate supply of goods and services.
This comes under Article 269A of the constitution.
For Example, IGST will be levied on import of goods and services from other countries.
Q.25) What would be the tax rate on the export of goods or services?
No tax will be levied on export o goods and services.
Q. 26) What is reverse charge and who can pay this charge?
The tax payable on a supply of goods and services by the recipient.
Q. 27) Under which article, the formation of GST Council mentioned?
Q. 28) Which IT company has won the GST contract?
GST Questions & Answers PDF Free
What is GST (Goods & Services Tax)?
GST is an indirect tax applicable all over the India by merging the all indirect taxes levied by
the central and state government into single one
GST introduced in India from 1st July 2017, By the introduction of GST, all the indirect taxes clubbed into the single tax that is Goods & Services Tax. Now, All indirect taxes (involving at each stage of the production cycle – buying raw materials, processing, manufacturing, warehousing, and sale to the final customers) sub messed to a single tax i.e. GST and will be paid by the final consumer.
What is GSTN (Goods & Services Tax Network)?
GSTN is a company that provides technology backbone for the new tax regime.
In the GSTN, five private institutions have 51 % equity,
The central government has 24.5% equity and
The state government, two union territories and the empowered committee of state finance ministers together hold 24.5% stake in it.
What are the benefits of introducing GST Law in India?
– Reduces the multiple numbers of indirect taxes into the single. So, the tax system gets simpler.
– Revenue will be increased.
– Consumption-based tax (Consumer has to pay tax). Eliminates excessive taxation under different levels.
(No need to pay at different stages of product life cycle – Collecting raw materials, processing, manufacturing, warehousing,
wholesale market, retail market).
– Reduces the corruption under tax administration.
– Reduction in transaction costs of doing business.
– Better control on leakages.
– GDP Rate will be raised.
– Easy to maintain for Central and State Government.
What are the indirect taxes that were sub messed into GST?
1) Sales Tax
2) Service Tax
3) Value Added Tax
4) Customs Duty
5) Excise Duty
6) Anti-dumping duty.
7) Entertainment Tax
8) Professional Tax
9) Property Tax
10) Transfer Tax
11) Luxury Tax
12) Taxes on a lottery, betting, and gambling.
What are GST Council and its role?
The major taxation reform ‘Goods & Services Tax’ in place of multiple indirect taxes in India is governed by the GST Council. It is a joint committee of the Centre and the States to make suggestions on important issues regarding GST.
The GST Council includes:
- The Union Finance Minister (as Chairman),
- The Union Minister of State in charge of Revenue or Finance, and
- The Minister in charge of Finance or Taxation or any other Minister, nominated by each state government to make recommendations to the Union and the States on the below-specified issues related to GST regime in India.
- The taxes, cesses, surcharges and model laws under GST;
- The goods and services on which taxes imposed to or exempted from the GST;
- The discussion of threshold limit of turnover up to how much amount the goods and services may be exempted from GST
- special tax rates during any natural calamity or disaster, for a specified period to raise additional resources
- A special provision of taxes for the North East States, Jammu & Kashmir, Himachal Pradesh and Uttarakhand; and
- Other matters related to the Goods & Services Tax decisions according to GST laws, principles of the levy.
What is Tax?
Tax is the fee charged by the government from the citizens on a product, service or income.
The purpose of Taxation:
The main purpose of collecting taxes is to finance the government for building the wealthy nation and to do various development works and other social works of Government. The tax collections will be utilized on public goods & services supervising by the government. For example, to clean public areas, streets, to maintain street lights etc.,
Types of Taxes:
1) Direct Taxes:
If the taxes are collected from the individual income or company’s income by the state or central government. Then, These type of taxes is called direct taxes.
Examples of Direct Taxes:
- Income Tax
- Capital Gains Tax
- Banking Cash Transaction Tax
- Corporate Tax
- Fringe Benefits Tax (Perquisite Tax)
- Securities Transaction Tax
- Personal Income Tax
- Tax Incentives
2) Indirect Taxes:
If the taxes are charged on the price of the goods or services by the government. Then, these type of taxes are called indirect taxes.
Indirect taxes involves starting from manufacturing of goods to delivery of services, and also on the import of goods, trading etc., up to the goods meant for consumption for the final consumer.
1) Sales Tax – Charged on sales of goods imposed by the union government.
2) Service Tax – charged on services – banking and financial, telephone, advertising, health centers etc.,
3) Value Added Tax ( Charged on sales just like a sales tax but it is imposed by the state government).
4) Customs Duty (Goods) – Charged on imported goods from other countries to India.
5) Excise Duty – Charged with goods manufacturing within the boundaries of the country.
6) Anti-dumping duty.
7) Entertainment Tax – Imposed on financial transactions related to entertainment (movie tickets, theaters).
8) Professional Tax – This type of tax is imposed on Employees (professionals)
and submit the collected amount to the municipal corporation.
9) Property Tax: Charged on the properties of the owners.
10) Transfer Tax: Charged on the transfer of ownership of one property to the other one.
12) Fuel Tax: imposed on the sale of fuel – petrol, gas etc., (Not comes under GST).
13) Dividend Tax: This type of tax is charged on dividend income above 10 lakhs.
14) Luxury Tax
15) Taxes on a lottery, betting, and gambling.
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