GST and Technology Very Short Answer Type Questions

GST and Technology Very Short Answer Type Questions

Question 1.
Who are GST providers?
Answer:
To enable taxable persons to comply with the requirements of GST, 34 companies have been given permission to act as GST suvidha providers. These providers will enable a middle tier of entrepreneurs, who can develop innovative services and solutions for a variety of tax payers.

Question 2.
What is GSTN?
Answer:
Goods and Services Tax Network (GSTN) is a nonprofit non-government company, which will provide shared IT infrastructure and service to both central and state governments including tax payers and other stakeholders. The Frontend services of registration, Returns and payments to all taxpayers will be provided by GSTN. It will be the interface between the government and the taxpayers.

Question 3.
What is GST system?
Answer:
Under GST system a uniform sharing of IT infrastructure between the center and states has been established.

Question 4.
Who is a GSP?
Answer:
GSP stands for GST Suvidha Provider. A GSP is considered as an enabler for the taxpayer to comply with the provisions of the GST law through its web platform (essentially an online compliance platform such as ClearTax ).

Question 5.
What is GSP eco-system?
Answer:
Under GSP eco-system uploading invoice information, matching of input tax credit (ITC) claims, creation of party-wise ledgers, uploading of returns, payment of taxes, signing of documents with digital signature is done electronically.

Question 6.
State any two features of GST Portal.
Answer:
The two features of GST Portal are:
(i) The Official portal of GST has added two important functionalities including the Form GST-ARA 01, an electronic form for Advance Ruling and the Application for revocation of cancellation of registration.

(ii) The GST portal also enabled the functionality to revoke or cancel the GST registration.

Question 7.
Is it mandatory for e-commerce operator to obtain registration? Explain.
Answer:
Yes it it mandatory for e-commerce operator to obtain registration. Section 19 r/w Schedule-Ill of the MGL, provides that the threshold exemption is not available to e-commerce operators and they would be liable to be registered irrespective of the value of supply made by them.

Question 8.
Who is an aggregator?
Answer:
Section 43B(a) of the MGL defines aggregator to mean a person, who owns and manages an electronic platform, and by means of the application and communication device, enables a potential customer to connect with the persons providing service of a particular kind under the brand name or trade name of the said aggregator. For instance, Ola cabs would be an aggregator.

Question 9.
Is an aggregator required to be registered under GST?
Answer:
Yes an aggregator required to be registered under GST. Section 19 r/ w Schedule-III of the MGL, provides that the threshold exemption is not available to aggregators and they would be liable to be registered irrespective of the value of supply made by them.

Question 10.
What is Tax Collection at Source (TCS)?
Answer:
In terms of Section 43C(1) of the MGL, the e-commerce, operator is required to collect (i.e. deduct) an amount out of the consideration paid or payable to the actual supplier of goods or services in respect of supplies of goods and / or services made through such operator. The amount so deducted/collected is called as Tax Collection at Source (TCS).

Question 11.
At what time/intervals should the e-commerce operator make such deductions?
Answer:
The timings for such collection/deduction are earlier of the two events:

• the time of credit of any amount to the account of the actual supplier of goods and / or services;
• the time of payment of any amount in cash or by any other mode to such supplier.

Question 12.
What is the concept of GST Eco-system?
Answer:
A common GST system will provide linkage to all State/UT Commercial Tax departments, Central Tax authorities. Taxpayers, Banks and other stakeholders. The eco-system consists of all stakeholders starting from taxpayer to tax professional to tax officials to GST portal to Banks to accounting authorities.