Maharashtra Board Class 10 Maths Chapter 4 Financial Planning Set 4.A Solutions

Question 1. Financial Planning Class 10 Problem Set 4a Question 1. Write the correct alternative for each of the following.
i. Rate of GST on essential commodities is _____
(A) 5%
(B) 12%
(C) 0%
(D) 18%
Answer: (C) 0%
In simple words: Essential commodities are typically exempt from GST or have a very low rate, hence 0% is the correct option.

🎯 Exam Tip: Remember common GST rates for different categories of goods and services, especially essential commodities, as they are frequently tested.

Question 1. ii. The tax levied by the central government for trading within state is _____
(A) IGST
(B) CGST
(C) SGST
(D) UTGST
Answer: (B) CGST
In simple words: When goods are traded within the same state, both the Central Government and the State Government levy taxes, known as CGST and SGST, respectively.

🎯 Exam Tip: Distinguish between CGST, SGST, IGST, and UTGST based on whether the trade is intra-state or inter-state and the governing authority.

Question 1. iii. GST system was introduced in our country from _____
(A) 31st March 2017
(B) 1st April 2017
(C) 1st January 2017
(D) 1st July 2017
Answer: (D) 1st July 2017
In simple words: The Goods and Services Tax (GST) was officially implemented across India starting from July 1, 2017.

🎯 Exam Tip: Knowing key dates for economic policies like GST implementation can be important for general knowledge and contextual understanding in exams.

Question 1. iv. The rate of GST on stainless steel utensils is 18%, then the rate of state GST is _____
(A) 18%
(B) 9%
(C) 36%
(D) 0.9%
Answer: (B) 9%
In simple words: The total GST rate is equally divided between Central GST (CGST) and State GST (SGST) for intra-state transactions, so SGST is half of the total GST.

🎯 Exam Tip: Always remember that CGST and SGST rates are exactly half of the total GST rate for transactions within a state.

Question 1. v. In the format of GSTIN there are _____ alpha-numerals.
(A) 15
(B) 10
(C) 16
(D) 9
Answer: (A) 15
In simple words: A Goods and Services Tax Identification Number (GSTIN) is a 15-digit alphanumeric code used to identify registered taxpayers under GST.

🎯 Exam Tip: Understand the structure and purpose of GSTIN, including the number of characters, as it's a fundamental concept in GST.

Question 1. vi. When a registered dealer sells goods to another registered dealer under GST, then this trading is termed as _____
(A) BB
(B) B2B
(C) BC
(D) B2C
Answer: (B) B2B
In simple words: When a business sells to another business, it's called Business-to-Business (B2B) trade, and this distinction is important for GST invoicing and Input Tax Credit.

🎯 Exam Tip: Be familiar with terms like B2B (Business to Business) and B2C (Business to Consumer) as they describe different types of transactions under GST.

Question 2. A dealer has given 10% discount on a showpiece of Rs. 25,000. GST of 28% was charged on the discounted price. Find the total amount shown in the tax invoice. What is the amount of CGST and SGST.
Solution:
Printed price of showpiece = Rs. 25,000,
Rate of discount = 10%
\( \therefore \) Amount of discount = 10% of printed price
\( = \frac{10}{100} \times 25000 \)
= Rs. 2500
\( \therefore \) Taxable value
= Printed price - discount
= 25,000 - 2500 = Rs. 22,500
Rate of GST = 28%
\( \therefore \) Rate of CGST = 14% and
Rate of SGST = 14%
CGST = 14% of taxable value
\( = \frac{14}{100} \times 22500 \)
= Rs. 3150
\( \therefore \) CGST = SGST = Rs. 3150
\( \therefore \) Total amount of tax invoice
= Taxable value + CGST + SGST
= 22500 + 3150 + 3150
= Rs. 28,800
\( \therefore \) The total amount shown in the tax invoice is Rs. 28,800, and the amount of CGST and SGST is Rs. 3150 each.
In simple words: First, calculate the discount to find the taxable value. Then, calculate CGST and SGST as half of the total GST rate on the taxable value. Finally, add taxable value, CGST, and SGST to get the total invoice amount.

🎯 Exam Tip: Remember to calculate GST on the discounted price (taxable value) and always split the total GST equally into CGST and SGST for intra-state transactions.

Question 3. A ready-made garment shopkeeper gives 5% discount on the dress of Rs. 1000 and charges 5% GST on the remaining amount, then what is the purchase price of the dress for the customer?
Solution:
Printed price of dress = Rs. 1000
Rate of discount = 5%
\( \therefore \) Amount of discount = 5% of printed price
\( = \frac{5}{100} \times 1000 \)
= Rs. 50
\( \therefore \) Taxable value = Printed price - discount
= 1000 - 50
= Rs. 950
Rate of GST = 5%
\( \therefore \) GST = 5% of taxable value
\( = \frac{5}{100} \times 950 \)
\( \therefore \) GST = Rs. 47.5
Purchase price of the dress
= Taxable value + GST
= 950 + 47.5 = Rs. 997.50
\( \therefore \) Purchase price of the dress for the customer is Rs. 997.50.
In simple words: Calculate the discount from the original price to get the taxable value, then add the GST on this taxable value to find the final purchase price for the customer.

🎯 Exam Tip: Ensure that GST is always calculated on the taxable value (after any discounts) and not on the original printed price.

Question 4. A trader from Surat, Gujarat sold cotton clothes to a trader in Rajkot, Gujarat. The taxable value of cotton clothes is Rs. 2.5 lacs. What is the amount of GST at 5% paid by the trader in Rajkot?
Solution:
Taxable amount of cotton clothes = Rs. 2.5 lacs,
Rate of GST = 5%
GST = 5% of taxable amount
\( = \frac{5}{100} \times 2,50,000 \)
= Rs. 12500
\( \therefore \) Trader of Rajkot has to pay GST of Rs. 12,500.
In simple words: Since the trade is within the same state (Gujarat to Gujarat), the total GST is calculated directly on the taxable value at the given rate.

🎯 Exam Tip: For intra-state transactions, the total GST is the sum of CGST and SGST. Here, since it asks for "amount of GST", we calculate the total directly.

Question 5. Smt. Malhotra purchased solar panels for the taxable value of Rs. 85,000. She sold them for Rs. 90,000. The rate of GST is 5%. Find the ITC of Smt. Malhotra. What is the amount of GST payable by her?
Solution:
Output tax = 5% of 90000
\( = \frac{5}{100} \times 90000 \)
= Rs. 4500
Input tax = 5% of 85000
\( = \frac{5}{100} \times 85000 \)
= Rs. 4250
ITC = 4250.
\( \therefore \) GST payable = Output tax - ITC
= 4500 - 4250
GST payable = Rs. 250
\( \therefore \) ITC of Smt. Malhotra is Rs. 4250 and amount of GST payable by her is Rs. 250.
In simple words: Input Tax Credit (ITC) is the GST paid on purchases. GST payable is the difference between GST collected on sales (output tax) and the ITC claimed.

🎯 Exam Tip: Clearly identify input tax (GST paid on purchases) as ITC and output tax (GST collected on sales) to correctly calculate GST payable.

Question 6. A company provided Z-security services for the taxable value of Rs. 64,500. Rate of GST is 18%. Company had paid GST of Rs. 1550 for laundry services and uniforms etc. What is the amount of ITC (input Tax Credit)? Find the amount of CGST and SGST payable by the company.
Solution:
Output tax = 18% of 64500
\( = \frac{18}{100} \times 64500 \)
= Rs. 11610
Input tax = 1550
GST payable = Output tax - ITC
= 11610 - 1550
\( \therefore \) GST payable = Rs. 10060
SGST = CGST = \( \frac{\text{GST payable}}{2} \)
\( = \frac{10060}{2} \)
= 5030
\( \therefore \) Amount of ITC is Rs. 1550. Amount of CGST and SGST payable by the company is Rs. 5030 each.
In simple words: Calculate the output GST on services provided. The ITC is the GST already paid. Subtract ITC from output GST to find the total GST payable, then divide this total equally for CGST and SGST.

🎯 Exam Tip: Input Tax Credit (ITC) is directly given as the GST paid on inputs. Remember to divide the net GST payable equally between CGST and SGST.

Question 7. A dealer supplied Walky-Talky set of Rs. 84,000 (with GST) to police control room. Rate of GST is 12%. Find the amount of state and central GST charged by the dealer. Also find the taxable value of the set.
Solution:
Let the amount of GST be x.
Price of walky talky with GST = Rs. 84,000
Taxable value of walky talky = Rs. (84,000 - x)
Now, GST = 12% of taxable value
\( \therefore \)
\( x = \frac{12}{100} \times (84,000-x) \)

\( \therefore \)
\( 100x = (84,000-x) \times 12 \)

\( \therefore \)
\( 100x = 84,000 \times 12 - 12x \)

\( \therefore \)
\( 100x + 12x = 84,000 \times 12 \)

\( \therefore \)
\( 112x = 84,000 \times 12 \)

\( \therefore \)
\( x = \frac{84,000 \times 12}{112} = 750 \times 12 = 9000 \)

\( \therefore \)
GST = 9000
\( \therefore \)
Taxable value of walky talky
= Rs. (84,000 - x)
= (84,000 - 9000)
= 75,000
Now, CGST = SGST = \( \frac{\text{GST}}{2} \)
\( = \frac{9000}{2} \)
= 4500
\( \therefore \) Amount of state and central GST charged by the dealer is Rs. 4,500 each. Taxable value of the set is 75,000.
In simple words: Since the given price includes GST, set up an equation where the price with GST equals taxable value plus GST on taxable value. Solve for GST, then find the taxable value and divide the GST equally for CGST and SGST.

🎯 Exam Tip: When the total price "with GST" is given, first calculate the GST amount and then the taxable value, often by solving an algebraic equation.

Question 8. A wholesaler purchased electric goods for the taxable amount of Rs. 1,50,000. He sold it to the retailer for the taxable amount of Rs. 1,80,000. Retailer sold it to the customer for the taxable amount of Rs. 2,20,000. Rate of GST is 18%. Show the computation of GST in tax invoices of sales. Also find the payable CGST and payable SGST for wholesaler and retailer.
Solution:
For Wholesaler:
Output tax = 18% of Rs. 1,80,000
\( = \frac{18}{100} \times 1,80,000 = 32,400 \)
Input tax = 18% of Rs. 1,50,000
\( = \frac{18}{100} \times 1,50,000 \)
= 27,000
ITC = 27000.
GST payable = Output tax - ITC
= 32,400 - 27,000
= 5,400
\( \therefore \)
SGST = CGST = \( \frac{\text{GST payable}}{2} \)
\( = \frac{5400}{2} \)
= 2700
For Retailer:
Output tax = 18% of 2,20,000
\( = \frac{18}{100} \times 2,20,000 \)
= 39,600
Input tax = 32,400
ITC = 32400.
GST payable = Output tax - ITC
= 39,600 - 32,400
= 7,200
\( \therefore \)
SGST = CGST = \( \frac{\text{GST payable}}{2} \)
\( = \frac{7200}{2} \)
= 3600
Statement of GST payable at each stage of trading:

In simple words: For each stage (wholesaler, retailer), calculate their output tax on sales and input tax on purchases. GST payable is output tax minus input tax credit (ITC). CGST and SGST are half of the GST payable.

🎯 Exam Tip: Clearly track input tax credit (ITC) through the supply chain. ITC for a stage is the output tax of the previous stage in the chain.

Question 9. Anna Patil (Thane, Maharashtra) supplied vacuum cleaner to a shopkeeper in Vasai (Mumbai) for the taxable value of Rs. 14,000, and GST rate of 28%. Shopkeeper sold it to the customer at the same GST rate for Rs. 16,800 (taxable value). Find the following:
(i) Amount of CGST and SGST shown in the tax invoice issued by Anna Patil.
(ii) Amount of CGST and SGST charged by the shopkeeper in Vasai.
(iii) What is the CGST and SGST payable by shopkeeper in Vasai at the time of filing the return.
Solution:
i. For Anna Patil:
Output tax = 28% of 14,000
\( = \frac{28}{100} \times 14000 \)
= Rs. 3920
\( \therefore \)
CGST = SGST = \( \frac{\text{GST}}{2} \)
\( = \frac{3920}{2} \)
= Rs. 1960
\( \therefore \) Amount of CGST and SGST shown in the tax invoice issued by Anna Patil is Rs. 1960 each.
ii. For Shopkeeper in Vasai:
Output tax = 28% of 16,800
\( = \frac{28}{100} \times 16,800 \)
= Rs. 4704
\( \therefore \)
CGST = SGST = \( \frac{\text{GST}}{2} \)
\( = \frac{4704}{2} \)
= Rs. 2352
\( \therefore \) Amount of CGST and SGST charged by the shopkeeper in Vasai is Rs. 2352 each.
iii. ITC = 3920
GST payable by shopkeeper in Vasai
= Output tax - ITC
= 4704 - 3920
= Rs. 784
\( \therefore \)
CGST = SGST = \( \frac{\text{GST payable}}{2} \)
\( = \frac{784}{2} \)
= 392
\( \therefore \) CGST and SGST payable by shopkeeper in Vasai at the time of filing the return is Rs. 392 each.
In simple words: Calculate the output GST for each seller. The shopkeeper's input tax credit is Anna Patil's output GST. The payable GST for the shopkeeper is their output GST minus the ITC. Finally, split all GST amounts into CGST and SGST.

🎯 Exam Tip: Remember to correctly identify the ITC for each stage in a supply chain, which is typically the GST paid on purchases from the preceding supplier.

Question 10. For the given trading chain prepare the tax invoice I, II, III. GST at the rate of 12% was charged for the article supplied.
ℹ️ चित्र व्याख्या (Diagram Explanation): यह चित्र एक ट्रेडिंग चेन को दर्शाता है जिसमें एक उत्पाद थोक विक्रेता से वितरक, फिर खुदरा विक्रेता और अंत में उपभोक्ता तक पहुँचता है। इसमें थोक विक्रेता, वितरक और खुदरा विक्रेता के लिए अलग-अलग टैक्सेबल वैल्यू और तीन कर इनवॉइस (I, II, III) दिखाए गए हैं, जहाँ उपभोक्ता के लिए अंतिम मूल्य अज्ञात है।
i. Prepare the statement of GST payable under each head by the wholesaler, distributor and retailer at the time of filing the return to the government.
ii. At the end what amount is paid by the consumer?
iii. Write which of the invoices issued are B2B and B2C.
Solution:
i. For wholesaler:
Output tax = 12% of 5000
\( = \frac{12}{100} \times 5000 = 600 \)
For Distributor:
Output Tax = 12% of 6000
\( = \frac{12}{100} \times 6000 = 720 \)
ITC = Rs. 600
\( \therefore \) GST payable = Output tax - ITC
= 720 - 600
= Rs. 120
For Retailer:
Output tax = 12 % of 6500
\( = \frac{12}{100} \times 6500 = 780 \)
ITC = Rs. 720
\( \therefore \) GST payable = Output tax - ITC
= 780 - 720 = Rs. 60
Statement of GST payable at each stage of trading:

ii. ITC for consumer = Rs. 780
\( \therefore \) Amount paid by consumer
= taxable value + ITC
= 6500 + 780
= Rs. 7280
\( \therefore \) Amount paid by the consumer is Rs. 7280.
iii. B2B = Wholesaler to Distributor
B2B = Distributor to Retailer
B2C = Retailer to Consumer
In simple words: Calculate GST payable for each intermediary by subtracting their Input Tax Credit (ITC) from their output tax. The consumer pays the final taxable value plus the last GST. Identify B2B transactions as sales between businesses and B2C as sales from business to consumer.

🎯 Exam Tip: For chain transactions, always compute GST payable for each intermediary using Output Tax - ITC. The final price to the consumer includes the last taxable value plus the GST charged by the retailer.