The 'Goods and Services Tax' on renting of residential property for residential use is: MCQ with Answer and Explanation

The 'Goods and Services Tax' on renting of residential property for residential use is:
A. 5%
B. 0%
C. 18%
D. exempt
Answer: Option D
Solution (By JKSSB Mock Tests)
Renting residential property for residential use is exempt from GST.

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Practice More Economy Set 1 Questions

Question #1
Which of the following is a characteristic of the 'Catch-up' or 'Convergence' hypothesis in growth theory?
A. Poorer economies tend to grow faster than richer ones, conditional on similar steady-state determinants
B. There is no tendency for convergence
C. Richer economies always grow faster
D. Only absolute convergence always holds unconditionally

Correct Answer: Option A


Explanation:
Conditional convergence predicts that countries with lower initial income per worker grow faster once differences in saving rates, population growth and technology are controlled for.

This question belongs to: Economy GK Economy Set 1
Question #2
The 'Goods and Services Tax' replaced which of the following state taxes?
A. Wealth tax
B. Income tax
C. Entry tax
D. Corporate tax

Correct Answer: Option C


Explanation:
GST subsumed entry tax and other indirect taxes.

This question belongs to: Economy GK Economy Set 1
Question #3
Which of the following is a characteristic of a developed money market?
A. Presence of a wide range of instruments and high liquidity
B. Absence of short-term instruments
C. High transaction costs and low participation
D. Only long-term government securities

Correct Answer: Option A


Explanation:
A developed money market features a variety of short-term instruments, high liquidity, low transaction costs and active participation by financial institutions.

This question belongs to: Economy GK Economy Set 1