Ms. Ira Menon is a regular taxpayer under GST in Kochi, Kerala, registered since 2018. Her turnover for the previous year was ₹1.5 crore. She gives…

CA Final · Indirect Tax Laws · MTP · November 2026
Ms. Ira Menon is a regular taxpayer under GST in Kochi, Kerala, registered since 2018. Her turnover for the previous year was ₹1.5 crore. She gives the following information about her outward supplies for the month of October: Sr. No. Particulars Amount Charged (₹) (i) Interest received on loans given to small traders. 2,10,000 (ii) Coaching classes conducted by her for students preparing for competitive entrance examinations. 4,50,000 (iii) Transportation of goods by road for a manufacturing firm using her own trucks. She does not issue consignment notes. 1,30,000 (iv) Fee for a Kathak recital (classical dance) performed at a cultural festival. She did not act as a brand ambassador. 1,60,000 (v) Tickets sold for a drama staged by her theatre group. 400 tickets were sold at ₹650 each. 2,60,000 (vi) Housekeeping services provided to a degree college affiliated to a university. 1,50,000 (vii) Rent for a residential flat let to Prism Tech Pvt. Ltd., a company registered under GST, for the stay of its director. 1,80,000 (viii) Legal consultancy services provided as an advocate (not a senior advocate) to Delta Pvt. Ltd., whose turnover in the preceding financial year was ₹5 crore. 2,50,000 From the above information, compute the total GST liability of Ms. Ira Menon (on which tax is to be paid by her) for the month of October. All supplies are intra-State supplies and the rates of tax are CGST and SGST @9% each. All figures are exclusive of GST, wherever applicable. Reasons for the treatment of each item must be given.

Suggested Answer and Working Notes:

Computation of total GST payable by Ms. Ira Menon Particulars Amount (₹) CGST @9% (₹) SGST @9% (₹) (i) Interest on loans to small traders [Services by way of extending loans or advances, where the consideration is interest.] - - (ii) Coaching classes for competitive examinations [Not exempt. The exemption for services by an educational institution to its students covers only institutions providing pre-school to higher secondary education, education for a recognised qualification, or an approved vocational course. A coaching class does not qualify as an educational institution.] 4,50,000 40,500 40,500 (iii) Transportation of goods by road [Exempt. Transport of goods by road is exempt, except services of a goods transport agency or courier agency. Ira does not issue a consignment note, so she is not a GTA.] - - (iv) Kathak recital [Not exempt. A classical or folk performance is exempt only if the consideration for the performance is not more than ₹1,50,000. Here, it is ₹1,60,000, so the whole amount is taxable.] 1,60,000 14,400 14,400 (v) Drama tickets [Not exempt. Admission to a theatrical performance is exempt only where the price is not more than ₹500 per person. Tickets are priced at ₹650, so the whole amount is taxable.] 2,60,000 23,400 23,400 (vi) Housekeeping services to a degree college [Not exempt. Housekeeping, security and cleaning services to an educational institution are exempt only where the institution provides pre-school or higher secondary education or below. A degree college does not qualify as an educational institution.] 1,50,000 13,500 13,500 (vii) Rent for a residential flat to a registered company [Not exempt, because the exemption for renting a residential dwelling does not apply where it is rented to a registered person. Tax is payable by the company under reverse charge.] - - (viii) Legal consultancy to Delta Pvt. Ltd. [Services by an individual advocate to a business entity above the registration threshold are not exempt. Tax is payable by the company under reverse charge.] - - Total GST payable by Ms. Ira Menon 91,800 91,800

Topics: Charge of GST, Exemptions from GST

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic