Are you a finance and accounts graduate or a candidate looking to join a career in taxation and accounts? Are you getting ready to respond to GST Interview questions? Yes, then we realize that the appearance in an interview can be very stimulating, and simultaneously, it can cause a feeling of anxiety. Preparing for a GST interview includes getting a strong grip on various laws and practicing GST interview questions and answers. Doing this can increase your confidence and help you to clear the interview. Henceforth, here we have listed the top 25 questions on the GST interview, along with their answers to help you.
GST Interview Questions and Answers- Top 25
Q1- What is GST? Explain it.
Ans- GST (Goods and Services Tax) is the tax system where indirect tax is imposed on the supply of goods and services. GST is a tax system that has replaced multiple indirect taxes. This has removed the cascade effect and has simplified the taxation system.
Q2- What are the types of GST?
Ans- There are Four kinds of GST, namely –
The CGST (Central Goods and Services Tax) – First comes the CGST. This type of GST is charged and gathered by the Central Government of that country on intra-state supplies.
SGST (State Goods and Services Tax)- Secondly comes the SGST. This tax is collected and charged by the State Government in compatibility with GST. It also extends to the intra-state supplies.
IGST (integrated goods and services Tax)- IGST is the GST collected by the central government but levied on interstate supplies. This replaces the central sales tax.
UTGST (Union Territory Goods and Services Tax )- The fourth type of GST is collected by the Union Territories of India. It is similar to SGST and levied on intra-territorial supplies.
Q3- When was GST introduced in India?
Ans- In India, GST was introduced in 2017. It was implemented through the enactment of the 101st Constitution Amendment Act.
Q4-In what way is GST distinct from the old tax system?
However, under the old VAT-based tax regime, customs duty and central excise duty were examples of central taxes.
State VAT, WCT, entertainment tax, luxury tax, and sales tax deducted by source, along with surcharges and cresses, were examples of state taxes.
However, GST has merged both central and state taxes such that every service and commodity, from motor spirit including petroleum & high-speed diesel and natural gas, are subjected to only one tax.
Q5- What is a formula for calculating the GST?
Ans- The GST is calculated by the formula
GST value =( GST Rate /100) ×Transaction Value.
Here, in this formula
GST = Goods and Services Tax.
GSTRate = Applicable GST rate (in percentage).
Transaction Value = value of the goods or services on which GST is being calculated.
The total amount payable would be the Original price GST value.
Q6- What do you mean by GST council?
Ans- The GST council is a constitutional body responsible for creating various recommendations on issues related to GST. This body ensures cooperative federalism.
Q7- Define Input Tax credit.
Ans: In other words, ITC allows input or purchase taxes to be set off against output liability. This means businesses can reduce their final tax bill by subtracting from taxes paid on inputs. This is also known as crediting such input tax against collected output tax.
Q8- What is the Reverse Charge Mechanism (RCM)?
Ans- RCM reverses the burden of tax payment from supplier to recipient, imposed mostly on certain goods and services.
Q9– How does GST impact the economy?
Ans- GST helps create a uniform tax system that promotes simplicity, minimizes the potential for tax evasion, and ensures economic growth.
Q10- Provide a detailed definition of the ‘Composition Scheme’.
Ans- The composition scheme pays taxes for small businesses at a predetermined percentage.
Q11- What is the maximum threshold limit for GST registration?
Ans- The threshold value for GST registration is calculated upon the aggregate turnover of a business, which changes concerning different states.
Q-12- Distinguish the exempt and nil-rated goods under the GST.
Ans- In the case of exempt goods, they are levied 0% GST, while nil-rated goods are free from any GST liability; this provides a clear understanding of GST treatment.
Q13 – Discuss the role of GST in fighting tax avoidance.
Ans- GST’s seesaw-free and tech-driven transparent system helps reduce loopholes, Which makes it more difficult for businesses to avoid paying taxes.
Q14- How does GST influence the pricing of goods and services
Ans- GST is often responsible for the reduction in the overall tax burden, which means that prices become cheaper for the consumers.
Q15- How do I describe the process of GST audit?
Ans- You can answer this GST interview question by announcing that a tax audit is a system designed to ensure that the taxpayer’s monetary facts and money owed are in line with GST laws and regulations.
Q16- GST HSN code-What is the importance of?
Ans- The Harmonized System of Nomenclature (HSN) code is a standard classification system for goods that makes uniform tax application possible.
Q17- Time of Supply is an idea under GST.
Ans- The time of supply determines the point at which a transaction is subject to GST and thus makes sure that the GST applied is calculated correctly.
Q18- Analyze Goods and Services Tax Network (GSTN).
Ans-GSTN is like a technology backbone that helps to register, file, and process GST returns.
Q19- What are the gains for small businesses in GST?
Ans- GST has a positive impact on compliance, makes life easier for small businesses, and improves their competitiveness in the market.
Q20 What are the challenges faced in the application of GST?
Ans- The implementation process also poses several challenges, including initial hurdles in the compliance process, technological adaptation, and adaptation to change in the new tax structure.
Q21–Place of Supply in GST defines:
Ans- Place of supply is a basis on which a supply is considered to be intra-state or inter-state and in turn, determines the kind of GST levied.
Q22- Name the main features of the GST regime.
Ans- Valuable aspects are a harmonized tax system, online compliance, and the abolition of tax cascading.
Q23- Does GST cover all Goods and Services?
Ans- Yes, GST is created to cover a wide range of goods and services, tangible and intangible, are covered under GST except a few.
Q24- How can an ordinary man file a GST return online?
Ans- Anyone can file a GST return online via the GST portal. Taxpayer has to register themselves under GST and get their GST number. GST number is always based on PAN card and state code and is a 15-digit number.
Q25- What is the minimum annual income or income requirement for GST filing?
Ans- One should have a minimum annual income of ₹40 lakh (for goods and services) and ₹20 lakh ( for service providers).
Kodakco’s GST course
To become an expert in GST Interview Questions, your basics and knowledge of GST must be strong. Kodakco’s GST course will help you become a certified professional with expertise in GST. This will help you be confident while preparing for the GST interview questions. Kodakco is one of the oldest and most renowned names for professional training in SAP, Income tax, GST, writing etc. They offer the best GST course in the market.
Conclusion
For clearing an interview in the field of income tax or a related field, you need to stay updated with all the latest rules and regulations. You can practice the GST Courses interview questions before going for an interview. These GST interview questions will help you become ready for your job interview. Also, you can enrol on the GST course by Kodakco to become a certified professional.
FAQs
Q1- After clearing the GST interview questions, what job profile can I work for?
Ans- Once you practice GST interview questions and clear your interview, you can work as a GST Consultant, Tax Analyst, GST Auditor, Finance Manager, Tax Manager, etc.
Q2- How much salary can a GST-qualified person get after clearing the GST interview?
Ans- The salary can vary as per your experience and knowledge. Usually, it ranges between 4-7 lakhs per annum.
Q3- Can I do the GST course online?
Ans- Yes, Kodakco offers online GST courses and offers you the flexibility to finish your course along with your present job or studies.
Q4- Is entering into GST a good career option?
Ans- Clearing an interview after preparing GST interview questions can help you enter into a highly demanding career path. GST is an important part of the income tax industry, and there is a high demand for qualified professionals.
Q5- Who can do a GST course?
Ans- Anyone from the finance field, arts graduates, CA, CS, and law aspirants can enroll in the GST course.
