MANAGEMENT

BUISENESS MANAGEMENT

TAXES

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Tax collected at the time of supply of goods or services is called
A
Output Tax
B
Input Tax
C
Composite tax
D
Reverse tax
Explanation: 

Detailed explanation-1: -The Goods and Services Tax (GST) is a tax on the supply of goods and services.

Detailed explanation-2: -Tax will be levied on every supply of goods and services. Centre would levy and collect Central Goods and Services Tax (CGST), and States would levy and collect the State Goods and Services Tax (SGST) on all transactions within a State.

Detailed explanation-3: -Output VAT is VAT which you must calculate and collect when you sell goods and services, provided that you are registered in the VAT Register. Output VAT must be calculated both on sales to other businesses and sales to ordinary consumers.

Detailed explanation-4: -When the GST is paid at the time of the purchase of a good, it is called ‘Input Tax’ and then the trader collects the GST during the sale which is called ‘Output Tax’.

Detailed explanation-5: -An input tax is a levy paid by a business on acquired goods and services. An example of an input tax is the value added tax. When a business then taxes its customers, this is considered an output tax.

There is 1 question to complete.