Ranger India Limited is a 100% subsidiary of Ranger LLC, Japan, registered under GST in the State of Gujarat. Ranger Inc., Singapore, is another…

Ranger India Limited is a 100% subsidiary of Ranger LLC, Japan, registered under GST in the State of Gujarat. Ranger Inc., Singapore, is another subsidiary of Ranger LLC, Japan, and is engaged in supply of industrial goods to customers across the world. In India, Ranger Inc., Singapore, sells the goods to a sub-contractor registered under GST in the name of Lamda Limited in the State of Maharashtra. Lamda Limited imports the goods sold by Ranger Inc., Singapore and carries out the required technical process on such goods in the factory located in Maharashtra. After processing of goods by Lamda Limited, the goods are sold by Lamda Limited to Ranger India Limited for further sales to end customer. As a holding company, Ranger LLC, Japan, recovers an amount equivalent to 20% of the sales made by Ranger India Limited as commission on monthly basis. During the month of January, Lamda Limited imported the goods worth - 10,00,000 from Ranger Inc., Singapore. The inter-State purchases of Lamda Limited from domestic market amounted to 2,00,000 during the month of January. The value of processed goods sold by Lamda Limited to Ranger India Limited amounted to 10,00,000. Further, Ranger India Limited paid an additional amount equivalent to 2,00,000 for transportation and handling of goods to third party (a Goods Transport Operator), which was contractually agreed to be paid by Lamda Limited. Lamda Limited has also charged an amount equivalent to 12,000 on such processed goods as miscellaneous municipal levy (other than GST) payable in the State of Maharashtra. Ranger India Limited sold the goods purchased from Lamda Limited in the month of January as per the details provided below: 1.6,00,000 worth goods to Shubhman Ltd, a customer located in the State of Rajasthan 2.8,00,000 worth goods to Arjun Ltd, a customer located in the State of Gujarat There is no opening stock and closing stock for the month of January with Ranger India Limited. Further, an employee of Ranger India Limited had visited the manufacturing unit of Lamda Limited in Mumbai, Maharashtra and had stayed in the hotel located in Mumbai, Maharashtra, in the month of February. At the time of checkout from hotel, the invoice was issued for an amount equivalent to 1,00,000. The hotel had issued invoice in the name of Ranger India Limited and GST was charged at the rate of 9% CGST and 9% SGST on total invoice amount of 1,00,000. Out of such amount, the amount recoverable from the employee towards non-official stay by Ranger India Limited was - 50,000. Dhoom Dhaam Ltd., an event management company, located and registered at New Delhi, had organized a cultural event in the month of February for Ranger India Limited, in Mauritius. The opening balance of input tax credit of both Lamda Limited as well as Ranger India Limited for the relevant tax periods is nil. Further, there is no other inward or outward supply transaction for Lamda Limited in January and February apart from the aforementioned transactions. Subject to the information given above, assume that all the other conditions necessary for availing ITC have been fulfilled. All the above transactions are exclusive of GST, wherever applicable. GST is applicable in the aforesaid case scenario at the following rates unless otherwise specified: I. Intra-State supply – 9% CGST and 9% SGST II. Inter-State supply – 18% IGST The rate of basic customs duty on import of goods is nil. However, IGST is applicable on import of goods. No additional duty or cess is applicable on the import of goods or services. Based on the facts of the case scenario given above, choose the most appropriate answer to Q. Nos. 6 to 9 below carrying 2 marks each: