M/s. Suraj Apparels is registered under GST in the State of Rajasthan. It sells leather handbags across India through e-commerce operator Y-kart.…

CA Intermediate · Taxation · PYQS · May 2026
M/s. Suraj Apparels is registered under GST in the State of Rajasthan. It sells leather handbags across India through e-commerce operator Y-kart. Y-kart, not being an agent, is registered with Madhya Pradesh GST Authority as TCS collector and collects TCS on supplies made through it. M/s. Suraj Apparels made sales of 4,60,000 and received sales returns of 88,500 in the month of October 2025. Sales are exclusive of tax whereas sales return is inclusive of tax. Leather handbags are taxable @ 18% IGST. Determine the amount of TCS (IGST) to be collected by Y-kart for the month of October 2025. Rounded off to nearest rupee.
(A) ₹ 2,272
(B) ₹ 3,850
(C) ₹ 1,925
(D) ₹ 2,300

Suggested Answer and Working Notes:

Correct Answer: Option (C)

₹ 1,925

Topics: Paper 3B: Goods and Services Tax, Paper 3A: Income Tax Laws

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