CAF-2 · Chapter 17 · Question 6 of 15
Under the provisions of the Sales Tax Act, 1990, which of the following persons is NOT mandatorily required to be registered for sales tax?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) C) A commercial exporter who does NOT intend to claim a refund against his zero-rated supplies.
Explanation
Importers, wholesalers, and manufacturers (other than cottage industries) are required to be registered. However, an exporter is only required to be registered if he intends to obtain a sales tax refund against his zero-rated supplies.
More Scope of Sales Tax Law and Rules for Registration and Deregistration MCQs
- Q8Under the rules for suspension and blacklisting of registration, the Commissioner can suspend a registered person's sales tax registration…
- Q9Emerald Traders (ET) purchased taxable goods from Sapphire Electronics (SE), another registered person, and paid the invoice value…
- Q10What is the primary difference between a "zero-rated supply" and an "exempt supply" under the Sales Tax Act, 1990?
- Q11A registered person makes a taxable supply of a home appliance to a consumer from the general public on an installment basis. The cash…
- Q12How is sales tax collected from retailers who do NOT fall into the Tier-1 category?