CA Final Paper 5: IDT flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Article 246A

Constitutional provision inserted by the 101st Amendment giving Parliament and State legislatures concurrent power to levy GST on intra-State and inter-State supplies.

Article 279A

Provision constituting the GST Council, whose decisions require a three-fourths majority of weighted votes, with the Centre holding one-third and the States two-thirds.

Composite supply

A naturally bundled supply of two or more goods or services in conjunction with each other, taxed at the rate applicable to the principal supply.

Mixed supply

Two or more individual supplies bundled for a single price, not naturally bundled, taxed at the highest rate among the constituent supplies.

Reverse charge mechanism

A mechanism under Section 9(3) or 9(4) of the CGST Act where the recipient of goods or services is liable to pay GST instead of the supplier.

Place of supply, immovable property

Under Section 12(8) of the IGST Act, the place of supply for services relating to immovable property is the location of the property itself.

Time of supply, goods

For goods, the earlier of the invoice date or the last date for invoice issuance and the payment date; reverse charge uses receipt of goods and payment.

Transaction value

The price actually paid or payable for a supply where the supplier and recipient are unrelated and the price is the sole consideration, as defined in Section 15.

Section 16(4) time limit

ITC on invoices cannot be availed after 30 November following the financial year or the annual return filing date, whichever is earlier.

Blocked credit, Section 17(5)

A list of credits not available, including motor vehicles for passenger transport, food and beverages, club membership, works contract for immovable property, and goods lost or destroyed.

E-way bill threshold

An e-way bill is required for movement of goods valued above Rs.50,000; validity is one day for up to 200 km, with one additional day per 200 km.

Registration threshold

Registration is required above Rs.40 lakh turnover for goods and Rs.20 lakh for services, with lower limits in special category States.

Section 39(11) restriction

A registered person cannot furnish a GSTR-3B return for a tax period if the return for any preceding period remains unfurnished.

Refund limitation period

Under Section 54, a refund application must be filed within two years from the relevant date, which varies with the nature of the refund claim.

Section 73 demand

A demand for tax not paid, short paid or erroneously refunded without fraud, issued within two years of the due date of the annual return.

Section 74 demand

A demand for tax involving fraud, wilful misstatement or suppression of facts, issued within five years of the due date of the annual return.

Appeal pre-deposit

An appeal to the Appellate Authority requires a pre-deposit of 10% of the disputed tax, capped at Rs.20 crore, under Section 107.

Advance ruling

A written decision by the Authority for Advance Ruling on the taxability or applicability of GST to a proposed transaction, binding on the applicant.

Section 132 offence threshold

Imprisonment for tax evasion applies where the tax involved exceeds Rs.1 crore, with higher terms for amounts above Rs.2 crore and Rs.5 crore.

Section 142 transitional provision

Provisions dealing with the transition from the earlier indirect tax regime, including carry-forward of credit, pending refunds and treatment of supplies spanning the transition.

Basic Customs Duty

Duty levied under Section 12 of the Customs Act at the rate specified in the First Schedule to the Customs Tariff Act on imported goods.

Customs valuation, Rule 10

Additions to the transaction value for imported goods, including freight, insurance, commission, royalties and assists, before arriving at the assessable value.

Duty drawback, Section 74

Refund of import duty on goods re-exported within the prescribed periods, ranging from 98% within 3 months to 90% within 15 months.

Bill of entry

A document filed by the importer under Section 46 of the Customs Act declaring imported goods and their value for assessment and clearance.

Bonded warehouse

A warehouse licensed under Sections 57-58A where imported goods may be stored without payment of duty until cleared for home consumption.

Baggage allowance

The duty-free allowance under the Baggage Rules, 2016, generally Rs.50,000 for an Indian resident returning from abroad, subject to conditions.

CESTAT appeal period

An appeal to the Customs, Excise and Service Tax Appellate Tribunal must be filed within 60 days of communication of the order, with a 7.5% pre-deposit.

COFEPOSA detention

A preventive detention law allowing detention of persons involved in smuggling or foreign exchange violations, reviewed by an Advisory Board within five weeks.

FEMA Section 13

The provision imposing penalties for contravention of the Foreign Exchange Management Act, including a penalty up to three times the sum involved.

Inter-State supply

A supply where the location of the supplier and the place of supply are in different States or Union Territories, attracting IGST under Section 7 of the IGST Act.

Zero-rated supply

Under Section 16 of the IGST Act, exports and supplies to SEZ units or developers, which may be made under bond or LUT without payment of IGST.

EPCG scheme

An export promotion scheme allowing import of capital goods at zero customs duty subject to an export obligation of six times the duty saved over six years.