5 Time of Supply

1. Which section governs the provisions regarding

determining time of supply of goods? 8. Which notification removed the requirement of
a. Section 12 payment of tax on advance receipt case of

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b. Section 13 supply of goods?
c. Section 14 a. Notification No. 10/2017 – Central Tax dated
d. Section 15 15.11.2017
Ans:- a b c d b. Notification No. 66/2017 – Central Tax dated

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15.11.2017
2. Which section governs the provisions regarding c. Notification No. 70/2017 – Central Tax dated
determining time of supply of services? 15.11.2017
a. Section 12 d. None of the above
b. Section 13 Ans:- a b c d
c. Section 14
d. Section 15 9. The relaxation of non payment of taxes on the
Ans:- a b c d advance receipt is only to the supplier of goods
and not to the providers of service.

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3. The time of supply fixes the point when the a. Correct
_______________ to / of GST arises. b. Incorrect
a. Liability c. Partially correct
b. Payment d. None of the above
c. Provision Ans:- a b c d
d. Recovery
Ans:- a b c d 10. Mr. Ram sold goods to Mr. Shyam worth `
Ac 5,00,000. The invoice was issued on 15th
4. Reverse charge means the liability to pay tax by November. The payment was received on 30th
the _______________ of goods or services or November. The goods were supplied on 20th
both instead of the _______________ of such November. The time of supply of goods will be:—
goods or services or both. a. 15th November
a. Recipient, Supplier b. 30th November
b. Recipient, Agent c. 20th November
c. Supplier, Recipient d. None of the above.
d. Agent, Recipient Ans:- a b c d
Ans:- a b c d
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11. M/s ABC made an arrangement with M/x PQR for

5. What is the date of receipt of payment? supply of goods on 15th July, at this time goods
a. Date on which payment is entered in the books of didn't cross frontiers. The payment of goods has
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account been made on 16th July, while the invoice was

b. Date on which payment is credited to the bank made on 18th July. What will be the time of supply
account in such a case?
c. Earlier of (a) or (b) a. 15th July
d. Either of (a) or (b) b. 16th July
Ans:- a b c d c. 18th July
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6. What is time of supply of goods, in case of d. 16th July or 18th July whichever is suitable to
forward charge? supplier
a. Date of issue of invoice Ans:- a b c d
b. Due date of issue of invoice
c. Date of receipt of consideration by the supplier 12. Determine the time of supply of goods
d. Earlier of (a) & (b) a. Date of issue of Invoice by supplier - 21st July
Ans:- a b c d b. Date of dispatch of goods by the supplier – 22nd July
c. Date of receipt of payment in bank account – 15th
7. What is time of supply of goods, in case of June
supplier opting for composition levy under d. Date of record of payment in books of account – 17th
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Section 10 of the CGST Act, 2017? June

a. Date of issue of invoice Ans:- a b c d
b. Date of receipt of consideration by the supplier
c. Later of (a) & (b) Q.13. Banke Bihari (Pedewala), is a famous sweets
d. Earlier of (a) & (b) maufacturer, located and registered in Mathura,
Ans:- a b c d Uttar Pradesh. He received an order for 200 Kg. of
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 sweets on 2nd November, 2018 from M/s. October 5 and October 7.
Ghoomghoom Travels (P) Ltd., located and b. Invoice will be issued on August 5, September 5 and
registered in same locality of Mathura for a total October 5.
consideration of Rs. 1,00,000/- on occasion of c. Invoice will be issued on August 5, September 5,

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Diwali festival. All 200 Kg. sweets were delivered October 5, October 7 and October 17
to M/s. Ghoomghoom Travels (P) Ltd. on 5th d. None of the above
November, 2018, but without invoice, as Ans- . a b c d

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accountant of Mr. Banke Bihari was on leave on
that day. However, the invoice was raised for the 17. Mr. A, who has opted for composition levy, supplies
same on 6th November, 2018, when the goods worth Rs. 24,300 to Mr. B and issues an
accountant joined the office after leave. Payment invoice dated 25.09.2018 for Rs. 24,300. and Mr. B
in full was made on 7th November, 2018. pays Rs. 25,000 on 1.10.2018 against such supply of
Determine the time of supply of goods in this case. goods. The excess Rs 700 (being less than Rs.
a. 2 nd November, 2018 1,000) is adjusted in the next invoice for supply of
b. 5 th November, 2018 goods issued on 5.01.2018. Identify the time of
c. 6 th November, 2018 supply and value of supply:

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d. 7 th November, 2018 a. Rs. 25,000 – 1.10.2018
Ans:- a b c d b. For Rs. 24,300 – 25.09.2018 and for Rs. 700 –
1.10.2018
14. What is time of supply of goods liable to tax c. For Rs. 24,300 – 25.09.2018 and for Rs. 700 –
under reverse charge mechanism? 5.10.2018.
a. Date of receipt of goods d. (b) or (c) at the option of supplier, who has opted
b. Date on which the payment is made for composition levy
c. Date immediately following 30 days from the date Ans:- a b c d
of issue of invoice by the supplier
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d. Earlier of (a) or (b) or (c) 18. What is the time of supply of service if the
Ans:- a b c d invoice is issued within 30 days from the date of
provision of service?
15. On 04.09.2018, supplier invoices goods taxable a. Date of issue of invoice
on reverse charge basis to ABC & Co. ABC & Co. b. Date on which the supplier receives payment
receives the goods on 12.09.2018 and makes c. Date of provision of service
payment on 30.9.2018. determine the time of d. Earlier of (a) & (b)
supply. Ans:- a b c d
a. 04.09.2018
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b. 04.10.2018 19. Mr. X enters into a contract with a client for

c. 12.09.2018 supply of certain services on 18.12.2017. GST is
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d. 30.09.2018 payable on such services under forward charge.

Ans:- a b c d Services are supplied on 25.12.2017 and
invoiced on 05.01.2018. The client makes
16. Kutch Refineries supplies LPG to XYZ Ltd. by a payment by cheque for the services on
pipeline under a contract. The terms of contract 29.12.2017 and such payment is credited to the
are: (i) Monthly payment of ` 2 lakh to be made bank account of Mr. X on 06.01.2018. The
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by the recipient on fifth day of the month. (ii) A payment is recorded in the books of account of
quarterly statement of the goods dispatched and the client and Mr. X on 30.12.2017 and 07.01.2018
payments made will be issued by seventh day of respectively. The time of supply of services is:
the month succeeding the relevant quarter. a. 29.12.2017
b. 30.12.2017
August 5, September 5, Payments of ` 2 Lakh made in c. 06.01.2018
October 5 each month d. 05.01.2018
October 7 Statement of accounts issued by Ans:- a b c d
supplier for the quarter july-September
October 17 Differential payment of ` 56,000 20. M/s. Radhika Travels (P) Ltd., purchased a bus
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received by supplier for the quarter

July-September as per statement chassis from M/s. Jyoti Motors Ltd., for a
of accounts consideration of Rs. 80.00 Lakh on 1-Aug-2018.
M/s. Radhika Travels (P) Ltd., sent the bus chassis
Which of the following statements is true? for body building to M/s. Hanumant Fabricators,
a. Invoice will be issued on August 5, September 5, and paid in advance the total consideration of Rs.
25.00 Lakh on 10-Aug2018. M/s. Hanumant

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 Fabricators, after completing the bus body, associated enterprise(recipient)
informed M/s. Radhika Travels (P) Ltd., for b. Date of payment
inspection of the work done on 1-Sep-2018. M/s. c. Earlier of (a) & (b)

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Radhika Travels (P) Ltd., visited the work shop of d. Date of entry in the books of the supplier of
M/s. Hanumant Fabricators, on 7-Sep-2018, and service
confirmed that the bus body was in accordance Ans:- a b c d

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with the terms of the contract. M/s. Hanumant 25. Continuous supply of services means a supply
Fabricators, raised an invoice of Rs. 25.00 Lakh of services which is provided, or agreed to be
on 15-Sep-2018, and supplied chassis along with provided, continuously or on recurrent basis,
the bus body so constructed, along with the under a contract, for a period exceeding
invoice on 16-Sep-2018. _____________ with ________________ payment
State the time of supply in this case, out of obligations.
the choices given below- a. 1 year, annual
a. 10-Aug-2018 b. 3 months, periodic
b. 7-Sep-2018 c. 6 months, half yearly
d. 1 year, periodic

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c. 15-Sep-2018
d. 16-Sep-2018 Ans:- a b c d
Ans:- a b c d
26. What is the time of supply of service for the
21. Mr. A purchases redeemable vouchers worth INR supply of taxable services up to Rs.1000 in
8000/- on 1st January. The vouchers are excess of the amount indicated in the taxable
redeemable against purchase of any goods. The invoice?
vouchers are valid till 30th June. What will be the a. At the option of the supplier – Invoice date or Date
time of supply in case of such vouchers?
Ac of receipt of consideration
a. 1st January b. Date of issue of invoice
b. 30th June c. Date of receipt of consideration.
c. The date of redemption of vouchers d. Date of entry in books of account
d. None of the above Ans:- a b c d
Ans:- a b c d
27. What is the time of supply of vouchers when the
22. Value of services rendered is Rs. 1,00,000/. Date supply with respect to the voucher is
of issue of invoice is 5th October 2018. Advance identifiable?
Received is Rs. 25,000/- on 20th September 2018. a. Date of issue of voucher
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Balance amount received on 7th October 2018. b. Date of redemption of voucher

What is the time of supply for Rs. 1,00,000/- c. Earlier of (a) & (b)
d. (a) & (b) whichever is later
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a. 5th October 2018 for Rs. 1,00,000/-

b. 20th September 2018 for Rs. 1,00,000/- Ans:- a b c d
c. 20th September 2018- Rs.25,000/- and 5th
October 2018 for Rs. 75,000/- 28. What is the time of supply of vouchers when the
d. 20th September 2018- Rs. 25,000/- and 7th supply with respect to the voucher is not
October 2018 for Rs. 75,000/- identifiable?
Ans:- a b c d a. Date of issue of voucher
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b. Date of redemption of voucher

23. What is the time of supply of service in case of c. Earlier of (a) & (b)
reverse charge mechanism? d. (a) & (b) whichever is later
a. Date of payment as entered in the books of Ans:- a b c d
account of the recipient
b. Date immediately following 60 days from the date 29. ABC Ltd. has purchased for its customers 50
of issue of invoice vouchers dated 20.8.2018 worth Rs.100 each
c. Date of invoice from PQR Ltd., a footwear manufacturing
d. Earlier of (a) & (b) company. The vouchers were issued by ABC
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Ans:- a b c d Ltd. on 20.09.2018. the vouchers can be

encashed at retail outlets of PQR Ltd. The
24 What is the time of supply of service in case an employees of ABC Ltd. encashed the same on
associated enterprise receives services from the 01.10.2018. Determine the time of supply of
service provider located outside India? vouchers.
a. Date of entry in the books of account of a. 20.08.2018

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 b. 20.09.2018 time of supply in respect of the late fees due on
c. 01.10.2018 mr. A?
d. Supply is not identified a. September 2018

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Ans:- a b c d b. October 2018
c. Time of supply has not arisen
30. Ms. A purchased a gift voucher (it can be d. None of the above

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redeemed against any product of the Ans:- a b c d
departmental store) from a super market worth
Rs.2,000 on 30.7.2018 and gifted it to her friend 35. Where goods are packed and transported with
on the occasion of her marriage on 05.08.2018. insurance, the supply of goods, packing
her friend encashed the same on 01.09.2018 for materials, transport and insurance is a composite
purchase of a watch. Determine the time of supply and supply of goods is the principal
supply. supply. Which section will govern the time of
a. 30.07.2018 supply provisions in this case?
b. 05.08.2018 a. Section 12
c. 01.09.2018 b. Section 13

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d. Supply is identified c. Section 14
Ans:- a b c d d. Section 15
Ans:- a b c d
31 M/s. Tanatan received testing services from
Aquarian Solution (P) Ltd. on 10-May-2018. The
payment was entered in the books of account of Sec 14
M/s. Tanatan on 16-May-2018 and was credited in
the bank account of supplier on 19-May-2018. In
Ac 36. Om which of the following situations, ‘New rate’
the meantime, supplier issued invoice on 18- shall be applicable?
May-2018. What will be the time of supply in this a. When the goods have been supplied before the
case? change in rate of tax but issue of invoice and
a. 10-May-2018 receipt of payment is after the change in rate of
b. 18-May-2018 tax.
c. 16-May-2018 b. When the goods have been supplied after the
d. 19-May-2018 change in rate of tax but issue of invoice and
Ans:- a b c d receipt of payment is before the change in rate of
tax.
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32. What is the time of supply of goods in residuary c. When the supply of goods and issue of invoice has
cases, in case where a periodical return has to been done before the change in rate of tax but
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be filed? receipt of payment is after the change in rate of

a. Date on which return is to be filed tax.
b. Actual date of filing of return d. When the supply of goods and receipt of payment
c. Date of payment of tax has been done before the change in rate of tax.
d. Date of collection of tax Ans:- a b c d
Ans:- a b c d
37. In which of the following situations, ‘Old rate’
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33. What is the time of supply in case of addition in shall be applicable?

the value of way of interest, late fee or penalty or a. When the goods have been supplied before the
any delayed payment of consideration? change in rate of tax but issue of invoice and
a. Last date on which such late fees / penalty has receipt of payment is after the change in rate of
been charged tax.
b. Date of payment of such additional amount b. When the goods have been supplied after the
c. Date of collection of whole amount change in rate of tax but issue of invoice and
d. It doesn’t constitute supply receipt of payment is before the change in rate of
Ans:- a b c d tax.
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c. When the supply of goods and issue of invoice

34. Mr. A entered into a contract with mr. C & agreed has been done after the change in rate of tax but
to make the payment by 30th September 2018. if receipt of payment is before the change in rate of
the payment is not made in time, then he shall tax.
pay late fees @ Rs. 100/day. No payment of late d. When the supply of goods and receipt of payment
fees has been made so far. What shall be the has been done after the change in rate of tax but

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 issue of invoice is before the change in rate of tax. dispatched from the godown on the same date. The
Ans :- a b c d payment of the same goods was received by M/s
ABC on 2nd September. Which of the following rate
38. If 9% of the work is complete before the change in is applicable in this transaction?

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rate of tax but invoice can be raised only after a. Lower of the two i.e. 18%
completion of supply, then what is the rate of tax b. Higher of the two i.e. 28%
to be applied? c. 28% as supply has completed and payment has
a. New tax rate been received after change of rate to 28%

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b. Old tax rate d. 18% as date of invoice and dispatch has happened
c. Either (a) or (b) before change of tax rate.
d. None of the above Ans;- . a b c d

Ans:- a b c d
43. Mr. Tommy entered into a contract for supply of
39. An online portal, Best Info, raises invoice for service of exploration of petroleum crude on 15 -
database access on 21st February, 2017 on Roy & Jan2018. He raised the invoice on 20-Jan-2018 and
Bansal Ltd. The payment is made by Roy & received the payment via cheque on 24-Jan-2018
Bansal Ltd. by a demand draft sent on 25th which he presented to bank for clearance on the

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February, 2017 which is received and entered in same day. On 25-Jan-2018, the rate of tax on this
the accounts of Best Info on 28th February, 2017. service changed from 18% to 12%. The payment was
Best Info encashes the demand draft and credited in his bank account on 31-Jan-2018,
thereafter, gives access to the database to Roy & assuming 27-Jan-2018, 28-Jan-2018, 29-Jan-2018,
Bansal Ltd from 3rd March, 2017. In the and 30-Jan-2018 to be working days. The service
meanwhile, the rate of tax is changed from 1st was rendered to the recipient on 1-Feb-2018. What
March 2017. What is the time of supply of the will be the rate of tax and time of supply in this
service of database access by Best Info? case?
a. 25th February, 2017
Ac
a. 18%, 20-Jan-2018
b. 28th February, 2017 b. 18%, 24-Jan-2018
c. 21st February, 2017 c. 12%, 31-Jan-2018
d. 3rd March d. 12%, 1-Feb-2018
Ans:- a b c d Ans:- a b c d

40. Determine the amount of GST in case of supply of

service of Rs. 10, 00,000 on 04-09-2018 and invoice
has also been issued on the same date. The date of
payment is 30-08-2018. The CGST rate has been
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increased from 5% to 12% w.e.f. 01-09-2018.

a. Rs. 50,000
b. Rs. 1, 00,000
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c. Rs. 70,000
d. Rs. 1, 20,000
Ans:- a b c d Answer:-

41. In cases of change in rate of tax and amount is 1 a 12 a 23 d 34 c

credited to the bank account after 4 working days
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2 b 13 b 24 c 35 a
from the date of change in rate of tax, the date of
receipt of payment will be: 3 a 14 d 25 b 36 a
a. Date of book entry or date of bank entry, whichever
4 a 15 c 26 a 37 b
is earlier
b. Date of bank entry 5 c 16 a 27 a 38 a
c. Date of book entry
6 d 17 d 28 b 39 c
d. Date of book entry or date of bank entry, whichever
is later. 7 d 18 d 29 b 40 d
Ans:- a b c d
8 b 19 d 30 c 41 b
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42. M/s ABC is regular dealer registered under GST in 9 a 20 a 31 b 42 d

Jaipur. He supplies goods to M/s PQR of
Ahmedabad. The tax rate on items supplied 10 a 21 c 32 a 43 c
increased from 18% to 28% w.e.f 01st September. 11 c 22 c 33 b
The goods were supplied by M/s ABC with invoice
date of 31st August and goods were also

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