Question

Q. Goods and Service Tax (GST) is considered to be a major tax reform in India. In which of the following products GST is applicable currently?

Select the correct answer using the code given below:

• A.
  1, 2 and 3 only
• B.
  1 and 2 only
• C.
  1, 2, 3 and 4
• D.
  None of the above

Answer 1

The correct option is D

None of the above
Explanation:

The Constitution (One Hundred and First Amendment) Act, 2016 amended the Indian Constitution and inserted the sub clause 12 (A) under the Article 366 of the Indian constitution. It says that the Goods and services tax means any tax on Supply of Goods or Services or both except taxes on the supply of the alcoholic liquor for human consumption.

It should be noted that at present there is no GST on petroleum crude, high speed diesel, motor spirit (commonly known as petrol), natural gas and aviation turbine fuel. But in future, the GST council can recommend the date on which the goods and services tax be levied on. Hence, these are under the ambit of the tax, but currently GST is not applicable on any of these items.