M.Com. (Semester III) Examination, 2017
TAXATION (PAPER-III)
Day Date: Tuesday, 18-04-2017 Max. Marks: 50
Time: 10.30 AM to 12.30 PM
N.B. All questions are compulsory.
All questions carry equal marks.
Q.1 Select the correct answer from multiple choices given: 10
Rate of sales tax on sale or purchase of declared goods inside the
state does not exceed.

From the following which one is not a declared goods.
Waste Cotton Cotton Fabrics Cotton Yarn
CST rates to registered dealers Form C has been reduced to
from

From E-I E-II are to be obtained and submitted for every
Half year A year Quarter 2 months
Sale should conclude in different state matches which essential of
inter-state sales.
Sales should complete in another state
Sales should not be complete in same state
Both a b
None of the above
Which one is true about MVAT Act, 2002?
Extend to whole of Maharashtra
Extend to Western Maharashtra
Extend to Maharashtra and Karnataka
Extend to Maharashtra, Karnataka and Goa
From the following which is not an ingredient of Turnover
Price of goods
Packing material
Loading and unloading charges
Value added tax
Transit Insurance
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SLR-Q-28
Application for registration under MVAT has to be made in
Form A Form C Form 101 Form 1001
Which one of the following cannot be considered as goods as per
the definition of goods given under MVAT Act, 2002
Books Magazines
News Papers All the above
10) Periodicity for filling of the returns under MVAT is dependent upon
Tax liability of the dealer
Option to the dealer
As per choice of the Commissioner
None of the above
Q.2 Write short notes on any two from the following: 10
Definition of Goods under MVAT Act, 2002
Procedure for registration under Central Sales Tax Act
Filling of returns under MVAT Act, 2002
Penalties under CST Act
Assessments under MVAT Act, 2002
Q.3 Explain the essential conditions for issue of Tax Invoice and its
contents.
05
During the month of December, 2014, Pratap made inter State sale
of Rs. 5,00,000 to Anand and Rs. 3,50,000 to Bhushan. The sales
are inclusive of sale tax were made against Forms Bhushan
failed to provide form C. Calculate Taxable turnover Central
Sales Tax payable assuming that the State sales tax for such good
is 4%.
05
Q.4 The following information regarding the turnover of purchase and sales
transactions is submitted by Ashok and associates, who started
Business on 1st February, 2014. Find out whether as per the provision
of the MVAT Act, 2002 he is liable for registration and payment of
taxes.
10
Month Purchases Sales
Within
State Outside the State
Tax Free
Goods
Tax Free
Goods
Taxable
Goods
Tax
free Taxable
Rs. Rs. Rs. Rs. Rs.
February-14 30,000 2,000 3,500 40,000 3,500
March-14 30,000 2,000 3,500 40,000 3,500
April-14 20,000 3,000 2,500 10,000 3,000
May-14 70,000 4,000 4,500 80,000 1,500
June-14 40,000 5,000 6,500 50,000 3,000
July-14 25,000 6,000 3,000 20,000 3,500
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SLR-Q-28
Q.5 Manufacturer Ashok from Delhi has sold 1,000 products "X" to Bharat of
Mumbai Rs. 2,000 per unit. He has charged CST on the said
product and paid Rs. 16,000 as freight.
10
Bharat Of Mumbai sold 500 products to Chetan of Pune 2,500 per
unit and charged VAT 12.5%. Chetan of Pune sold 500 products "X"
to Divakar, a consumer Rs.3,000 per unit and charged VAT
12.5%.
Calculate VAT liability of Bharat and Chetan
Purchase price exclusive of VAT 25,000
VAT credit to be taken 3,125
Sales Price 30,000
VAT payable 12.5% 3,750
VAT credit allowed 3,125
Net VAT payable 625
OR
Q.5 Determine how much input credit shall be available to the dealer 'Ajay
Lodha' in Solapur in respect of the following purchases:
10
Goods purchased from Delhi Rs. 3,06,000 which includes Central
Sales Tax 2%.
Goods purchased from a dealer in Mumbai Rs 3,60,000. VAT
charged 12.5% i.e. Rs. 45,000. Total value of purchase invoice Rs.
4,05,000.
Goods purchased from unregistered dealer Rs.40,000.
Goods purchased from a dealer under composition scheme Rs.
80,000. Y has paid as tax under composition scheme.
Purchases from dealer Z in Mumbai for Rs. 2,80,000. VAT charged
Rs. 14,000. Total value of purchase of Rs. 2,94,000.
Purchases from dealer B in Pune Rs.75,000. VAT is not separately
charged in the invoice.
Purchase of capital goods Rs. 10,12,500. Rs. 9,00,000 is price of
capital goods and Rs. 1,12,500 is VAT amount separately charged.
Goods purchased Rs. 1,05,000 which includes VAT which is
separately shown. Such goods have been utilized in the
manufacture of exempted goods.
Value of goods imported from Germany Rs.9,00,000.