Under GST, the 'Composition Scheme' is not available to a person who: MCQ with Answer and Explanation

Under GST, the 'Composition Scheme' is not available to a person who:
A. Is engaged in the manufacture of ice cream and pan masala
B. Makes inter-state supplies
C. Is engaged in the supply of services
D. All of the above
Answer: Option D
Solution (By JKSSB Mock Tests)
The Composition Scheme is barred for suppliers of services (except restaurants), those making inter-state supplies, casual/non-resident taxable persons, and manufacturers of specified goods like ice cream, pan masala, and tobacco. Therefore, all options apply.

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Practice More Accountancy and Book Keeping Questions

Question #1
'Benami Transactions' are prohibited under:
A. Companies Act
B. Income Tax Act
C. Benami Transactions (Prohibition) Act, 1988
D. GST Act

Correct Answer: Option C


Explanation:
Benami property transactions are illegal under the Benami Act.

Question #2
The 'Finance Act' gives effect to:
A. Financial proposals of the government for the year
B. Company law amendments
C. Banking regulation
D. Insurance regulation

Correct Answer: Option A


Explanation:
Finance Act is passed to enact the tax proposals of the budget.

Question #3
The final step in the accounting cycle is:
A. Posting to ledger
B. Preparation of financial statements
C. Preparation of trial balance
D. Journalizing

Correct Answer: Option B


Explanation:
The accounting cycle ends with the preparation of financial statements from the trial balance and adjustments.